I know that if you have two transformers connected in parallel that are of slightly different turns ratios, then there will be a circulating flow of VARs.
I also know that if you have two transformers that are mutually phase-shifted, you will have a circulating flow of watts.
My question is: what is a circulating flow of watts? To my knowledge, having more VARs implies more current implies more losses. But, having a circulating flow of watts seems like the exact same thing to me.
So what is a circulating flow of watts?
Thanks!