Running distccd in localhost or not?

Hello,

I am trying to setup distccd, and i have a question based on DISTCC_HOSTS
and servers. If the starting machine of compilation(known as localhost :D)
has the following hosts:

localhost poseidon dolphin

based on distccmon-text it doesnt compile anything in localhost, also
sometimes it uses only one server, localhost compiles only conftest.c which
i assume is for configuration. Daemon is not running in localhost, if i
want to compile in localhost too, should i start the service?

 I am asking because i thought that this would create overhead, wouldn't
localhost be used by default if parallelized make jobs were blocked by
other machines' slots? But in the other hand, if i use distcc then CC
variable would change, so in order to use local binaries, they should have
been navigated through local distcc daemon, not sure through.

I am not sure about the above questions, if they have any good explanation.

Thanks in advance for your time.

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