Well --
What we're all driving at is functional analysis of chords and voice leading -- meaning how scale degrees and their combinations in tonic, dominant, subdominant etc. functional chords (and strung together in melodies!) create sensations of tension, motion and rest. Realize too, that "chord" tones do not all have to be sounding at the same time -- they are implied even in a monophonic melody. Most of the rules for voice leading and harmonization were derived from the common practice period -- the classical greats did know what they were doing -- but then rules were made to be broken. Later styles (neo-classic, impressionism, jazz for example) expanded the rulebook. You can try to analyze exhaustively, or you can distill it to your own simpler set of rules (still to be broken in the right situations by the true musician) to suit your needs. Several harmonic and melodically based methods for analysis and improvisation exist -- they're all really talking about the same thing. Pick one that's the most attactive and see if it works for you.
Interesting arguments:
* about the conscious v. subconscious treatment of musical elements in improvisation -- I'm not sure I agree with subconscious, but rather a "higher understanding";
* also the ranking of the elements in order of consideration -- I'd rank them timbre, rhythm, melody, harmony (or maybe melody/harmony) and texture, in that order for impact upon the listener. Of course you have to realize them (i.e. manipulate these elements in improvisation or other playing) all at the same time;
* and that all the chord progressions were "exhausted...by the 1870's" -- no way -- I suppose all the melodies possible in equal temperament have already been written (or improvised) as well? I don't think either is true, for the simple reason that "the rules" (i.e. the nature of tonal music) guide us toward melodies and chord progressions that "make sense" and away from cacophony (not that there's anything wrong with that -- some people like cacophony).
I DO agree, rote regurgitation of arpeggiated chords with NO consideration of any other elements/processes/relationships/alterations, etc. is boring, bordering on insulting to the audience.
My definition of "musician" is a little bit different, too. More like "artist", less like "electrician" (no insult to artists intended! :wink: ). One is a craftsman, the other is more than that. I would also say though, that art without craftsmanship is usually just junk that doesn't hold my interest at all.