The dentate gyrus of the hippocampus is thought to subserve important physiological functions, such as 'pattern separation'. In chronic temporal lobe epilepsy, the dentate gyrus constitutes a strong inhibitory gate for the propagation of seizure activity into the hippocampus proper. Both examples are thought to depend critically on a steep recruitment of feedback inhibition by active dentate granule cells. Here, I used two complementary experimental approaches to quantitatively investigate the recruitment of feedback inhibition in the dentate gyrus. I showed that the activity of approximately 4% of granule cells suffices to recruit maximal feedback inhibition within the local circuit. Furthermore, the inhibition elicited by a local population of granule cells is distributed non-uniformly over the extent of the granule cell layer. Locally and remotely activated inhibition differ in several key aspects, namely their amplitude, recruitment, latency and kinetic properties. Finally, I show that net feedback inhibition facilitates during repetitive stimulation. Taken together, these data provide the first quantitative functional description of a canonical feedback inhibitory microcircuit motif. They establish that sparse granule cell activity, within the range observed in-vivo, steeply recruits spatially and temporally graded feedback inhibition