I think I'm gettin this, but let me reformulate the problem again and consider it.
I have my gaming engine and I want to develop the application based on it. So I want the engine to be a separate project that produces lib and I want the game to use that lib. However, I would be modyfing the engine and game constantly. In this case it simply doesn't seem to pay off have the engine as separate lib, because every single change in engine's source will entail recompilation of game code. So in that case it's simply better to have engine and game in one project, right?

EDIT:

Quote:
Wait... what?
That shouldn't happen. If the lib changes, there's no reason that all 100 of the app's source files should have to be recompiled.
All that should have to happen is that the app is re-linked (without re-compiling anything).

Are you sure you're not editing a lib-header which is included by all the app-source files?

At the time I'm not editing anything, these are all considerations here before I reorganize my project ;)

So you say that after change in lib's SOURCE file I only need to relink the application? And after modyfing header file I need to recompile app's sources that use that modifed header and relink app with the lib?