Declaring variables inside or outside of a loop

Question

Why does the following work fine?

String str;
while (condition) {
    str = calculateStr();
    .....
}

But this one is said to be dangerou

Answer 1

I think the size of the object matters as well. In one of my projects, we had declared and initialized a large two dimensional array that was making the application throw an out-of-memory exception. We moved the declaration out of the loop instead and cleared the array at the start of every iteration.