It's possible to turn on circular calculations and to limit the number of iterations at a global level (I've never seen it limited at a local level), which could be used as recursion to some extent. I think it would be quite rare to find a case where circular calculations would be a better solution than doing the same thing in a macro, writing a custom function or finding a closed form solution.

The biggest problem with circular calculations is that they may not converge fast enough (before the limit is reached), and if the output is important that's not a good feature to have.