What is the purpose of setting MaxResolution?

In map options specification like the one that follows, Help me explaining 1.the purpse of maxResolution, 2. How maxExtent works? I mean, If I add say, OpenStreetMap layer to a map with maxExtent specification, does it mean the layer out of the maxExtent bounds will not get loaded/rendered? I magine that OpenStreetMap is worldExtent. The options I'm asking is something like this:

var options = {

maxExtent: new OpenLayers.Bounds(-16.08,49.06,6.76,58.74),

maxResolution: 0.00138671875,

projection: "EPSG:4326",

units: "degrees"

};

map = new OpenLayers.Map("map", options);

In my case, I'm looking if I can render extent covering the whole Europe only by trimming out the rest part of world out of OpenStrretMap. I need this for zoom level 5-10 with zoom/pan and scale controls. Help required for reasonable understanding. thanks in advance.