Considering the packets loss caused by burst errors over wireless fading channel, RLP performance is analyzed using the first-order two-state Markov model. The formula to calculate the RLP throughput efficiency is also deduced while the maximal numbers of allowed retransmission is limited. Results show that when FER is small, the RLP throughput efficiency hardly decrease as the retransmission numbers increasing, and when FER is large, there exists a “floor effect” in RLP throughput efficiency for Go-Back-N. Further study shows that the RLP throughput efficiency decreases when the numbers of allowed retransmission increase, meanwhile the residual FER, which is reported to TCPby RLP, is reduced.