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 How does use of a fuse wire protect electrical appliances? 

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An electric fuse is a safety device used to protect circuits and appliances by stopping the flow of any unduly high electric current.

A fuse wire is nothing more than a resistor; every resistor produces heat when current passes through it. If the current in the resistor is high then heat produced in the resistor is also high and the fuse is made with materials which melt when the heat produce is high. So, if the current more than the preferred value passes through it, fuse wire melts and protects the rest of the circuit.

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