Ok, for the sake of argument let's assume that your game thread consistently takes 5ms to run and the render thread takes 10ms to run.
If you run with OFTL off, once the render thread has finished rendering the frame (10ms), it has to wait an additional 5ms for the game thread to finish computing the next frame before it can do any work. Since the render thread is not allowed to lag behind (also read as since the game thread is not allowed to work ahead) there is no queued frame. Hence, the effective time to render a frame from the render thread's perspective becomes 15ms.
On the other hand, if you have OFTL enabled, by the time the render thread has finished rendering one frame, it will already have a queued up frame to work on immediately. So the effective render time is now 10ms as opposed to 15ms.
Of course, if the render thread is more than 2 times slower than the game thread, then it will not always have a queued up frame, and as a result OFTL will yield diminishing returns.