The article analyzes the effects of installing buffer storage in two-stage production lines. It investigates whether buffer stocks should be used, how buffer capacity affects line efficiency and mean buffer stocks, and the impact of breakdown and repair rates. The study shows that installing buffer storage is most effective when breakdown rates are high and repair times are short. It also reveals that having similar breakdown rates in both stages reduces the benefits of buffer installation, while differences in repair rates do not affect the effectiveness of buffers.