I can answer this question since I accidentally created a circular reference the other day. It starts syncing the recursive structure until it runs out of quota.
> It starts syncing the recursive structure until it runs out of quota.
I was curious about this myself, but I never tried it, as I feared that this was precisely the badness that would occur.
Dropbox is so good in so many respects, I just can't understand how they could have made such an utterly terrible and wrong decision on this particular issue.
