[QUOTE=beowulf;7164092]
But forgive me for my inquiry, when you breed a close relative it obviously narrows down the gene pool diversity - do any “malign” effects (IE defects) to inbreeding/line breeding ever happen? As I am imagining close siblings being bred in cats and the effects thereof are not usually very flattering… Obviously horses are different in most that I’ve seen with linebreeding/inbreeding up close have no gross defects… how come?[/QUOTE]
There can be problems…I just don’t think you hear about it too often. The old adage seems to be true: It is called line breeding if it works. It is called inbreeding if it doesn’t work! 
A great example of the problems that can potentially happen when line breeding/inbreeding is the Friesian breed. It is common knowledge that there can be some major fertility problems with this breed. The theory is that it is directly related to line breeding/in breeding within the breed. There are also some major health issues with the Friesian breed that one needs to be careful of. Among them, dwarfism and hydrocephalus. Connemara Ponies are susceptible to Hoof Wall Separation Syndrome. I could go on. 
I’m of the opinion that, if in the wild, animals normally avoid inbreeding, then Mother Nature is clearly trying to tell us something. But of course, as humans, we seemed to be inclined to manipulate Mother Nature.
I totally understand doubling up on a specific equine trait to help create a better athlete, etc…but is it possible it is potentially causing other problems for us in generations to come?
In saying all of that, our now deceased pony hunter stallion, Penrhyn Sporting Chance, was a result of breeding the son back to the dam. www.allbreedpedigree.com/penrhyn+sporting+chance He’s arguably one of the more successful pony hunter stallions in the last few decades. His kids have all done well on the circuit. Talented…but could be tough to get started and get to the ring. Sporting Chance himself was tough, a spitfire and full of non-stop energy right up until the end. So then one has to question, is that line just naturally hot and hard-headed…or did that undesirable trait come out as a result of inbreeding?
As someone that comes from the purebred cat fancy world, I absolutely disagree with this statement. But then, if you are not familiar with purebred cats and the various registries available, it might not be common knowledge. Purebred cats are most definitely selectively bred. Ask any Sphynx or Maine Coon breeders and they can talk to you for days regarding pedigrees, traits and selective breeding. 