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Rate Limiting vs Load Shedding vs Circuit Breaking
A checkout service calls a third-party tax-calculation API. During a regional incident:
- The tax API starts timing out on ~80% of calls.
- Simultaneously, checkout's own CPU climbs to 95% because retries are piling up.
- Meanwhile, one particular customer's storefront is sending 10× its normal traffic due to a bug in their integration.
- For each of the three problems, name the mechanism (rate limiting, load shedding, or circuit breaking) that addresses it, and explain why the other two don't.
- Explain how, left unaddressed, the second problem (retries piling up) is actually made worse by the first problem, and how a well-designed system breaks that loop.
- Could all three mechanisms be active in the same request path at once? Give an example ordering.
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