Lanefan
Victoria Rules
I had a PC die in early 1984. In the same campaign he was revived in late 1988, only to quickly die again; he was revived a second time in early 1989 and is still going - after a fashion - today.I mean, if we allow "ever" then that's a massively different question. You could have the characters wake up resurrected in a cyberpunk future if you want. I find that sort of argument pretty tedious. If it isn't going to functionally happen in the next, say, month? I think we can reasonably call that "not happening."
Needless to say, in early 1984 I rolled up a replacement; and that replacement was Lanefan.

There's some middle ground here. Oftentimes, if someone's PC is hors de combat for any great length of time and revival or replacement isn't an immediate option I'll get that player to roll for a party NPC or even hand that NPC over to the player to play outright for a while. Other times, a player might want to stick around and just enjoy the entertainment of seeing what happens to the rest of the gang. Or, the player might start banging out a new chaacter right away even if it turns out not to be needed in the long run.Certainly, the person who played the dead PC isn't going to be super happy about spending the next "I have no idea how many" weeks waiting for the possibility of a resurrection, yeah? At which point you've already asked them to make a new character anyway, or you've literally just shut them out of the game entirely. Either way, it's equivalent to the character actually being permanently dead, they have to give up what they were playing and either not participate whatsoever, or try to invest in a brand-new character.
It ain't quite as all-or-nothing as you posit above.