Abstract | The hysteretic energy dissipated by systems undergoing quasi-static or dynamic loading is often thought to represent a useful measure of their performance when subjected to earthquake excitation. In general, fuller hysteresis loops mean higher seismic energy removal from the structure, which is logically taken to imply better performance when comparing systems with similar strength. However, such observations are typically based on quasi-static loading tests. Dynamic loading conditions differ as energy input and energy dissipation are intimately related with the details of the system’s hysteresis, in ways that often defy current intuition. Using incremental dynamic analysis on story-level oscillators with varying hysteresis characteristics, we can map this connection in detail. Structural response, as measured in terms of maximum or residual deformation, is shown to have little connection to the energy absorption. Therefore, hysteretic energy dissipation cannot quantitatively measure seismic performance but perhaps only serve as a general indicator.