I haven't been able to find a good thread on value of pitch calling / catcher defense.  What are opinions on best methods?  Is a catcher with 70ish arm ratings 85+ pitch calling who can't hit a lick preferred to a DH type with 50ish arms, 40 pitch calling who can rake?  General thoughts appreciated.

It always depends on the structure of your team.  If you have plenty of hitting, you can lose a spot in the line-up.   If you don't, you can skimp on C-D and add a bat. 

My C:

Hardball Dynasty – Fantasy Baseball Sim Games - Player Profile: Ryan Buchanan
Hardball Dynasty – Fantasy Baseball Sim Games - Player Profile: Fernando Furcal
Hardball Dynasty – Fantasy Baseball Sim Games - Player Profile: Aurelio Rodriguez
Hardball Dynasty – Fantasy Baseball Sim Games - Player Profile: Felix Hitchcock

None are horrible defensively but Furcal is there for his bat and Hitchcock for his D.   

I think it also depends on your pitching staff. I always like high PC catchers. The difference between a 85 PC catcher vs. a 45 PC catcher is about 0.40 to 0.50 in team ERA.

Prime example:
 Hardball Dynasty – Fantasy Baseball Sim Games - Player Profile: Dennys Franco

With 87-89 in arm strength and arm accuracy, I'm not surprised that he throws out just over 50% of baserunners.  What is less obvious in his stats, however, is how pitifully few baserunners even try to steal 2nd or 3rd.  Compared to other catchers in the league, I estimate that there's a 50% reduction (or more) in stolen base attempts.  

So with a lower # of SBAs and a much higher % of basestealers caught, a catcher this good reduces successful stolen bases by the opposition by about 60 or 70%.  All those prevented stolen bases represent runners in scoring position, and all those guys who never bothered to steal are on first setting up a GIDP.  

Personally, I think defensive catchers are awesome.  Just plain awesome.