We present a semiclassical anal sis of lasing with an injected signal in a
system of cold two-level atoms where the effects of atomic recoil are inclu
ded self-consistently. This analysis predicts that the atoms may bunch unde
r the effects of dipole forces to produce a density grating. This grating p
roduces distributed feedback which can induce lasing action even when the g
ain of the atomic medium is less than the cavity losses.