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Simply put,Dynamic braking is a system using a locomotives electric traction motors as generators,taking power from the rotation of the axle and slowing the train electromagnetically. It's a brake system which does not work off of kinetic friction like road vehicle brakes. This allows less brake wear and better train handling,it supplements the train's conventional air brake system. The current generated by the dynamic braking of a diesel electric locomotive is sent to large roof mounted electric grids,which act like giant electric space heaters and dissipate the energy generated by the brakes. Modern electric locomotives frequently use a more efficient system called regenerative braking whereby the electrical current generated by the brakes is fed back into the overhead trolley wire. One interesting future application for diesel electrics is the possibility of using large,superconducting flywheels(or maybe,more simply,a battery system) to store the brake energy for later traction use. <br /> That's a simplified answer,I'm sure there are others out there who can explain in greater detail.
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