Hi,
My 1995 wagon (76km) is riding very squishy and underdamped. Some observations and facts:

1. New self-leveling spheres
2. Suspension links/ bushings are fine
3. 500E rear springs fitted
4. Power steering/ tandem pump assembly leaking

At this point, the local dealer can think of only two causes for the squishy ride (underdamped and plenty of side to side motion over single wheel bumps): Degenerating shocks or insufficient system pressure in the SLS caused by the power steering/ tandem pump leak. Tech's recommendation is to rebuild the pump at $500.

My questions:
1. How would one determine if the leak is just a feeder or return line and not internal to the pump?
2. Could it be that any leak in the pump, external or internal, would affect the SLS pressure? The tech refused to attach a pressure guage at the level controller, citing that the pump leak would lead to a compromised reading (appears to make sense).

Any help would be much appreciated.

Thanks
farrukh