Brian J. Murrell wrote:

> > decrease throughput, cause the connections to
> > stall
>
> Well they only stall as long as it takes for TCP to resend the packet,
> which should not be a huge amount of time.

Unless there is a artificial high packet delay such as a badly tuned queue, 
in which case the TCP retransmission algorithm gets a bit screwed up..

To recap:

* To shape bandwidth, drop packets. Applications will recover.

* To ensure a link is best utilized, queue packets when reaching the limit. 
But make sure this queue isn't too large counted in link time (generally not 
more than a few ms can be recommended) or else the queue will screw up RTT 
timing of the link, and unless a really good queue policy is used a large 
queue easily allows for a single session to monopolize the available 
bandwidth.

* To ensure the traffic gets a chance to nicely deal with the bandwidth 
limitation, make the droppoint smooth by using algorithms such as RED.


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