A new meta-analysis by Murphy & Koehler (2021) finds cutting reduces muscle growth but not strength development compared to bulking.
The effects of age and sex
Strength vs. size
Strength gains, especially in the short-term, are in large part due to neural improvements in the neuromuscular system and our brain. These adaptations are probably not affected much by energy balance, as they’re more like software updates than building new hardware. However, over the long run the lack of muscle growth should logically impair strength gains. Strength gains may also suffer due to higher fatigue levels when recovery is poorer.
New study reference
Energy Deficiency Impairs Resistance Training Gains in Lean Mass but not Strength: A Meta-Analysis and Meta-Regression. Chaise Murphy, Karsten Koehler, First published: 08 October 2021. https://doi.org/10.1111/sms.14075
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