[1] Simply put, the control signal is a DC voltage that varies between zero and ten volts.
Typically used in commercial and theatrical dimming, the controller sends a voltage signal to the device.
Typically utilized in architectural lighting, a current sinking control scheme uses ballast or driver provided 10 V DC.
The current sinking scheme creates a fail safe situation.
Rc must be adjusted to a value of 0 ohms (a direct short) to return a 0 V control voltage.
For example, if the switch is off 10% of the time, the resulting control signal would be the equivalent of 1 V produced with a variable resistor.
The simplicity of the lighting system makes it straightforward to understand, implement and diagnose, and its low current (typically 1 mA) means it can be run along relatively thin cables with little voltage drop.
(This is only a theoretical limitation as the resistance of the thinnest practical wire is around 20 Ω/1000 m.) Capacitive coupling from nearby AC power cables can affect the signal to the fitting and even cause flickering.
Signal wire running parallel to power cables for a fair distance would need to be screened.