Yes, and IMHO that is the way that it should be! In the case of CD-4 you can also send the cartridge directly the amplifiers phono input instead bypassing the demodulator. CD-4 in auto mode a definite YES!He's playing a stereo 8 track and wondering why his quad 8 track player is 'pseudo-upmixing' 2 channel to 4 by default.
Are you saying CD-4 turntable setups always output 4 channels of audio even when playing a stereo (nonCD-4) LP? That would be the equivalent behavior.
I suspect it's because Sony figured anyone who buys a quad deck expects 'quad' all the time.