In my sim, the real wheels turn both at the exact same rate, so i guess i already have a LSD config..
nope.. that is a locked differential or a "spool", a limited slip allow tyres to turn at different speeds but in a "limited" (doh
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) way.
A spool adds tons of understeer to the car because the rear tyres will oppose to any change in relative angular speeds trying to straight the car up. This understeer is usually transformed into "snap" oversteer as soon there is too much torque for the tyres to handle. The car will be really really hard to drive.
The new generation of console driving games (Forza and GT5) are very very good, expecially compared to the physics systems found in older "mass market" games.
I don't have a PS3 (only XBox) but I've enjoyed GT5 a lot every time I tried.