A Stirling cycle engine typically can be subdivided into two major compartments: a closed space filled with a high pressure gas where the thermal to mechanical power conversion takes place, and a volume with ambient pressure partly filled with lubricating oil where the linear motions of the engine pistons are transformed to rotary motion of an output shaft. Piston rings are used in Stirling engines to separate the gas working space from the buffer space. These spaces have their function, and leakage between them past the piston rings can be very undesirable. The effect of this leakage on engine efficiency and output power is discussed. Control systems for the input and output powers, problems resulting from the high temperatures used in the heater, and the relatively low specific power usually attainable with the Stirling engine are analyzed.