It reduces current and causes a voltage drop. It converts power (current times voltage drop) into heat.
This has many different uses. A current-limiting resistor can reduce the maximum current something can draw. Two resistors in series can form a voltage divider. A shunt resistor can convert current into voltage for measuring purposes. A resistor can limit the rate at which a capacitor charges or discharges, creating an RC filter. Or it can be used to gently precharge large capacitor’s that would otherwise draw tons of current when empty. Many materials charge their resistance due to external factors such as light, temperature or voltage, making them useful as detectors or protection devices.
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