Yes I get that, a sort of abstract effect. But shock is used for other stuff like reduced movement.
So it seems very odd to me.
(1) A unit of 8 with 3 casualties (might seem a bit improbablet, but possible, or they might have had shock removed): moves at full speed.
(2) A unit of 8 with 0 casualties but 1 shock: moves a bit lower, etc.
Even considering this, as Captain Reid pointed out, as some abstract quantity that will come into play later, it seems very unrealistic to me at this scale?
It might seem like that, but it works well in practise. I thought it a bit strange at first but I've never really found it impacted on the actual game experience.
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You could also look at it as a unit that has a dead man is now more likely to break but isn't being slowed down by someone who a near miss has made more reluctant.
It's also a rather unusual outcome for a unit to have no shock and multiple dead unless, as you say, they've been rallied - but in that case they've had their morale restored, as it were.
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Don't forget that "dead" might not mean killed. It could also represent guys who have run off with no chance of rallying. The remaining men might represent a cadre still feeling confident thus no shock (and they might not even be aware yet of the runners).
Yes Dux gave a similar result in some games. I vividly recall a unit of 6 reduced by kills to 1 man who pushed back his opponents as they accrued Shock instead.