Well it appears to continue looking at the file your tailing. So it reads the last 10 lines of the file then sleeps for a second and then does it again. If something has been appended to the file since it's last run it will print those lines after the last ten lines of the previous run. I guess it is usefull for monitoring a file that is being written to by a program or other process. At least that is what the man page says.
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