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hey i've been told that page auth is more important than domain authrity on open site.. why is that?

hello again thanks v much for your answers last night - very enlightening! this morning i've taken to my ritual of manually searching my keyword progress thru google - i know you can do it thru seomoz pro tools - but the rankings don't ever seem to be the right number (a good estimate tho) my question - after a nice period of progress - i've lost some ground on keywords - can i track the loss in ground against my SEO endevours? ie - last week i didnt do as much social stuff as previous weeks - does google's algorithm work that quickly? ie- daily/weekly etc? cheers

I'm a DIY seo with a video production company - our website has been given some solid foundations by an SEO friend and we are climbing nicely up the rankings.. Everyone and their dog constantly warns of not straying into black hat - and I totally understand and appreciate the reasonings.. my issue is - pretty much ALL of the competitors use what I would perceive to be pretty shady web directories. These directories seem to account for 80% of each of my competitors inbound links (according to open site explorer) If all the front page of google for "corporate video" are submitting to all these directories - should I? Cheers AC