here, think of it like this. when you're making a u-turn while stepping on the accelerator, the outside tire has more distance to travel. so that means it would have to rotate a lot more than the inside tire. if even torque is applied to both tires then the outside one would slip right? well in order to solve this, an open diff gives the tire that's slipping more power, that way it can keep up with the inside tire.
now the problem with this is that in high speed cornering, centrifigual (sp?) force lifts the inside tire up. so an open diff sends most of the power to the lifted tire since it "senses" that it has less traction than the outside. in racing, this is bad, because all your power is getting wasted on a tire that doesn't have that much contact with the road. all the horsepower in the world doesn't mean **** if you can't put it down to the road.
an lsd gives power to both tires under acceleration. (and braking if you have a 1.5 or 2 way) but under light acceleration it acts like an open diff, so you can make low speed turns/ paralell park etc.
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