I think this is quite a complex issue. My impression is that such Mahayana teaching are easily misunderstood (by me) due to lack of knowledge. To a certain extent the interconnectedness teachings are the outward-looking version of the anatta (not-self) teachings - another way to see through the delusion of self-making.
I don't have any really good references but there are some useful hints in: Seeking the heart of wisdom: the path of insight meditation
By Joseph Goldstein, Jack Kornfieldhttp://books.google.co.nz/books?id=O_Td ... &q&f=false
A sense of interconnectedness leads to the realization that all our activities can be undertaken as service to the world around us. Following the path brings us face-to-face with selflessness and nonseparation as surely as our inner meditation does.
An interview with Joseph Goldstein: To the Forest for Refuge
Andrew Olendzki (From Fall 1998 issue of Insight) September 1, 1998. http://www.dhammaweb.net/interview/view.php?id=6
Students new to the Buddhist tradition always seem to eventually ask the question, If all is emptiness, why is there compassion? How is it that this ethical quality is somehow built into the fabric of the universe?
For a few reasons, I think; and maybe this also can be seen on a couple of different levels.
One might come out of an investigation of what the root of greed or fear or hatred in the mind really is. Even looking at the matter conceptually, but then more experientially from a meditative awareness, these afflicted states seem to me very clearly rooted in a sense of self. Someone is greedy for something, or someone is angry, or fearful, or whatever—in each case it is the notion of the self that actually feeds those unwholesome states. And so, in the absence of that sense of self, in emptiness, from where would greed arise? From where would hatred or anger arise?
This perspective is expressed in the traditional teachings when they speak of the effects of seeing through the illusion of self. Even though the other defilements, out of habit, may still arise, the root has been cut. And from that point forward those defilements will wither away, because they are no longer nourished by the sense of self. This is one way of looking at it.
From another perspective, we can see compassion arising out of an experience of non-separation. As long as there remains a sense of self, the very notion of self predicates other. With the self, there’s other than self. And other than self is everyone else and everything else! And so the very notion of self carries within it, implicitly, the notion of separation. From the perspective of absence of self, there’s no one there to be separate. So then it’s just the interplay, the dance of elements, experience, phenomena; there’s just the dance of all this—interconnected, interrelated—with a real sense of non-separation. And non-separation, I think, is another word for love. Again, it is not a matter of someone loving someone else, but goes beyond this to a simple manifestation of love.
And don't forget that generosity is a teaching emphasised by the Buddha in many suttas and considered by the Theravada as an essential foundation for the eight-fold path...