Confused by external drive advice - any views?

From the very introduction of Lightroom 1 I have structured my workflow around the principle of importing, selecting and editing NEFs on the internal hard drive that also holds the programme. Once edited, retained images are moved to a dedicated external drive on which is stored the .lrdata & .lrcat folders.
The link between drives has progressively stepped from USB, through USB2 and Firewire 400, to the current  FW 800. The internal drive is currently 2.7 Ghz Intel Core i5 with 12 GB of RAM in a mid-2011 27" iMac. The external drive is a 2T dual disk WD MY Book with Raid 1 dedicated as above.
This system reflects - I thought - the optimum for speed, taking account the limitations of the available hardware. However, I am now seeing advice advocating putting the programme on the same (external) disk as the lrdata and lrcat folders - all in the interests of speeding up Lr response times.
The reason I putting the question now is that faced with a necessary update to quite separate external drive, on which I keep my system back-ups, if the latter argument hold true, one option is for me to add a new Raid with 2T dedicated to the Lr library and the programme.
Any thoughts, based on one or the other premises, would be most welcome. Thanks for your time.
ps: The current iMac has a Thunderbolt port, but I am not folding that into any solution for the present.

There are 2 caches used by Lightroom: one is the "previews cache", which is the .lrdata folder, the other is the ACR cache.
The "previews cache" by default is located adjacent to, and in the same folder as, its corresponding .lrcat catalog file, and is used primarily in the Library module. It is possible to locate the .lrdata folder on a different drive using symbolic links, but you need to know what you're doing. The size of the previews cache will continue to grow as you add more images to the catalog.
The ACR cache is used mainly in Develop, and is used to store a partial rendering of the raw files to speed up loading in Develop. The size and location can be set/varied in the File Handling tab of the Lightroom Preferences (or in Photoshop, as they share the same ACR cache). Unlike the "previews cache" the ACR cache will work within the size that you have set, so that if needed older cache entries will be ditched to allow new ones to be created. With LR4 the size of ACR cache entries has been dramatically reduced, making space contraints much less of an issue.
In an ideal world you would have program executable, catalog/previews, ACR cache, and images all on different fast drives on a fast bus......but sometimes this isn't possible and you need to compromise performance in favour of useability. I know quite a few folks who want to be able to switch between computers at different locations and so use the "everything on one external drive" approach, which works for them.

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