The formula is simple it goes like this 1 - d ( dud directory ) + d ( dud directory ) = a dud directory or better explained as most old school backward people offering recipricol ( just because it's an option that looks cool in an old outdated script ) still = 1 the outcome = still one dud directory. Now if you take that 1 and divide it by 2 then X it by the sky is falling again your will have a dud directory your not sure about.
What the hell... Reciprocal Links are worse than normal links, the google athorythm is clearly more adapted to normal links (Google have even said this) Reciprocal links have been knocked down because so amny link trades have been put in place to artificially increase SERPS, normal links are more valued because they tend to be naturally created so show the websites true value rather than just be 'yet another site pushed to the top by techniques'
A smart solution is to create a separate page in your web site of high PR directories and begin submission to directories with PR not less then (4) via reciprocal They will find there link on your site and simply approve your site quickly .Do not forget first to submit in low PR without reciprocal. directorieslist.blogspot.com
Yes reciprocal has there worth and these link will increase your page popularity but now people are saying that google prefer more 3 way link and this help you a lot.
Google dont prefer three way links, three way links are jsut a way of getting around their system. You have to remember that google are AGAINST link trading and sales, they want links to simply exist because they point towards something useful.
I heard that too. I think it is better to go for one-way links instead of exchanging links, unless we are talking about doing three-way links. That is a better option.