Originally Posted by US Netizen

Does it make any difference whether my internal links contain "http://www" rather than just the file name?

Initially, my local file structure was slightly different than my server file structure and the use of ../ occasionally failed. So I went to the fully qualified www address.

It would seem reasonable to thing that the SEs are smart enough to know that these are internal links, but maybe not. In the end, does it make any difference anyway whether these are internal or external? All links go to my own sites, so currently any bleeding of PR makes no difference.