diff --git a/pkgs/racket-test-core/tests/racket/optimize.rktl b/pkgs/racket-test-core/tests/racket/optimize.rktl
index ca09716c65..4c2d40d365 100644
--- a/pkgs/racket-test-core/tests/racket/optimize.rktl
+++ b/pkgs/racket-test-core/tests/racket/optimize.rktl
@@ -5214,6 +5214,20 @@
   (test 'x syntax-e ((f))))
 
 ;; ;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
+;; Make sure the compiler doesn't try to inline forever a curried
+;; version of an infinite loop:
+
+(module curried-module-level-function-calls-itself racket/base
+  (define ((proc))
+    ((proc))))
+
+(module curried-local-function-calls-itself racket/base
+  (let ()
+    (define ((proc))
+      ((proc)))
+    (void proc proc)))
+
+;; ;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;
 
 
 (report-errs)
diff --git a/racket/src/racket/src/optimize.c b/racket/src/racket/src/optimize.c
index 5c77298283..503ac68bf9 100644
--- a/racket/src/racket/src/optimize.c
+++ b/racket/src/racket/src/optimize.c
@@ -1799,7 +1799,8 @@ static Scheme_Object *no_potential_size(Scheme_Object *v)
 
 static Scheme_Object *apply_inlined(Scheme_Lambda *lam, Optimize_Info *info,
 				    int argc, Scheme_App_Rec *app, Scheme_App2_Rec *app2, Scheme_App3_Rec *app3,
-                                    int context, Scheme_Object *orig, Scheme_Object *le_prev)
+                                    int context, Scheme_Object *orig, Scheme_Object *le_prev,
+                                    int single_use)
 /* Optimize the body of `lam` given the known arguments in `app`, `app2`, or `app3` */
 {
   Scheme_IR_Let_Header *lh;
@@ -1815,7 +1816,8 @@ static Scheme_Object *apply_inlined(Scheme_Lambda *lam, Optimize_Info *info,
   if (!expected) {
     /* No arguments, so no need for a `let` wrapper: */
     sub_info = optimize_info_add_frame(info, 0, 0, 0);
-    sub_info->inline_fuel >>= 1;
+    if (!single_use || lam->ir_info->is_dup)
+      sub_info->inline_fuel >>= 1;
     p = scheme_optimize_expr(p, sub_info, context);
     info->single_result = sub_info->single_result;
     info->preserves_marks = sub_info->preserves_marks;
@@ -1880,7 +1882,8 @@ static Scheme_Object *apply_inlined(Scheme_Lambda *lam, Optimize_Info *info,
     lh->body = p;
 
   sub_info = optimize_info_add_frame(info, 0, 0, 0);
-  sub_info->inline_fuel >>= 1;
+  if (!single_use || lam->ir_info->is_dup)
+    sub_info->inline_fuel >>= 1;
 
   p = scheme_optimize_lets((Scheme_Object *)lh, sub_info, 1, context);
 
@@ -2077,7 +2080,7 @@ Scheme_Object *optimize_for_inline(Optimize_Info *info, Scheme_Object *le, int a
 		     threshold,
 		     scheme_optimize_context_to_string(info->context));
           le = apply_inlined((Scheme_Lambda *)le, sub_info, argc, app, app2, app3, context,
-                             orig_le, prev);
+                             orig_le, prev, single_use);
           return le;
 	} else {
           LOG_INLINE(fprintf(stderr, "No inline %s\n", scheme_write_to_string(lam->name ? lam->name : scheme_false, NULL)));
@@ -6850,6 +6853,8 @@ static Scheme_Object *clone_lambda(int single_use, Scheme_Object *_lam, Optimize
   vars = clone_variable_array(cl->vars, lam2->num_params, &var_map);
   cl->vars = vars;
 
+  cl->is_dup |= !single_use;
+
   body = optimize_clone(single_use, lam->body, info, var_map, 0);
   if (!body) return NULL;
 
diff --git a/racket/src/racket/src/schpriv.h b/racket/src/racket/src/schpriv.h
index 7bc2b8056a..ffa68b2837 100644
--- a/racket/src/racket/src/schpriv.h
+++ b/racket/src/racket/src/schpriv.h
@@ -2851,7 +2851,7 @@ typedef struct {
   Scheme_Hash_Table *base_closure;
   Scheme_IR_Local **vars;
   char *local_type_map; /* determined by callers; NULL when has_tymap set => no local types */
-  char has_tl, has_tymap, has_nonleaf;
+  char has_tl, has_tymap, has_nonleaf, is_dup;
   int body_size, body_psize;
 } Scheme_IR_Lambda_Info;