Outlinking Best Practices - Rule 1
Some people hesitate to link back to a site that is of really high quality, out of worry that by adding a link they create a recip loop, which they think devalues that high value link in the process. I look at it another way. There are many reasons why you might link out to another site that's linking to you. For example, what if my site at EricWard.com was mentioned in The New York Times, and they linked to me as well. I'd be insane if I did not include a blurb about this on my site, with a link back to it where readers on my site could go see it. When I do this, it is no different than any other reciprocal link loop, except that the two sites doing the linking are of highest quality in their respective niches. There is no reason to let any engine dictate high level linking like this.
Rule of Outlink #1 is...
Link freely and often, but first apply a degree of scrutiny similar to that used when selecting a new suit, engagement ring, or proctologist.
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About The Link Building Best Practices Q and A
The Link Building Best Practices Q and A is provided free by Eric Ward. For sites with high value content, I offer several fee-based strategic linking services on a project basis.