Power steering fluid vs. ATF

[foxxinabox at wideopenwest.com (Foxx (in a box))]

> Well after ten years, my '87 Scirocco is back on the road!!   Oh... What
> a feeling!  :)  My wife said I was like a little kid on Christmas
> morning!! Anyway, I have changed all the fluids except for the power
> steering fluid.  The RB manual recommends Dexron or Dexron II ATF fluid.
> 
> My question is...what is the difference between ATF and power steering
> fluid?  I am planning on putting in new Dexron III ATF unless someone
> recommends something better.

   When I bought my '86 a number of years ago the rack was questionable 
and then developed a "clunk" when turning left. We replaced the rack and 
refilled it with regular PS fluid. 60k miles and no problems with 
leakage or failure. The woman's '94 Passat, OTOH, gets the VW stuff. I 
even put the VW stuff into my '89 Golf I had. I've never tried ATF 
though the '84 owner's manual I have also suggests Texaco 1833 as a 
direct replacement (don't even know if it's still available). Where the 
water gets muddied is that the Bentley lists Dexron or Dexron II ATF. Go 
figure. What does this mean? In short, I've used PS fluid after a 
complete flush with no negative results thus far. I've also never had a 
problem with using the VW fluid in a car known to have VW fluid. From 
knowing VW/Audi and their "special" fluids, though, do NOT mix the two 
or you will run into problems. Just my two pfennig.