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Inductance should be low in decoupling capacitors because the purpose of the decoupling capacitor is to absorb voltage transients due to suddent shifts in current due to switching activities, such as in a logic gate or high speed op-amp. If significant inductance were present, the power pin on the device would be allowed to dip or rise in voltage, potentially destabilizing the circuit. As circuit switch time becomes less and less, decoupling becomes more and more important. Even a short wire has inductance, and at the higher frequencies encountered in high performance circuits, that inductance becomes a critical factor. As a result, decoupling capacitors are place right next to the device being protected, often right across the power pins.

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Q: Why inductance should be low in decoupling capacitors?
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