A recursive query is a query for a domain that you are not authoritative for. Your example if you run DNS for mysite.com, then a recursive query would be one asking your server for the IP of google.com, linuxquestions.org, or yahoo.com (assuming you aren't authoritative for them). Most people block recursive queries to people not on their LAN or network.
Non-recursive queries are queries that your server is authoritative for. Using our earlier example, any query about mysite.com would not be a recursive query to your DNS, but it would be to every other DNS in the world. You always have to provide answers to non-recursive queries, otherwise the internet would not be able to lookup any domain name.
Peace,
JimBass
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