HDMI connection: RGB vs YCbCr

When connecting GT 640M graphics card (on a laptop) with Dell SE2419HR 23.8" screen, there is a huge difference when switching to YCbCr mode. Black becomes blackish, the text is rendered in a sharp manner and color palette seems rather natural.

I haven't found much information on the Internet what is the difference between RGB/YCbCr modes. Is it possible that my HDMI cable has some deficiency or it's just that laptop graphics card and this particular screen are best compatible at YCbCr mode?

Any references to explore deeper into the subject are greatly appreciated.

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