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It's useful to use an analogy comparing cable to copper plumbing pipe to answer this one:
If too small a pipe is used for say, central heating, an increase in water pressure results because the water has to flow through a narrower hole. This could cause reliability problems. The smaller bore pipe used can also lead to furring up of the system over a period of time.
With cable, the less metal (usually copper) used means there is more pressure to electrical current flow. This extra pressure is called Resistance. The longer the cable, the more resistance there is. Other factors also come into play that cause degradation of the higher frequency parts of the signal rather than the lower ones. All this means that using cheaper cable over long distances causes a serious deterioration in the quality of the signal, to such an extent that the signal, when it arrives at the receiving end, maybe unusable for the purpose it was intended for.
The use of premium cable (and therefore more copper) reduces this loss of signal quality.
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