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If you have sustained oscillations in one of your receiver stages, it is usually very bad. When a stage oscillates, its output voltage swing is often limiting. This means that the oscillation is forcing the output voltage to traverse back and forth from its low voltage rail to its high voltage rail, or nearly so. When this is happening, the stage's through-gain is often quite poor and as a result, the entire receiver suffers reduced sensitivity. Another problem that may occur is that the oscillation causes a very high level signal to pass to following stages, especially if the oscillation is at the frequency of the receiver's IF or desired RF input as the oscillation output would pass through the receiver's filters. This will often cause the following stages to saturate as well, further reducing the sensitivity. The demodulator section may also be swamped by this oscillation signal and so become blocked from normal operation.