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Error trying to reduce TEMP tablespace back to default

I have 8.1.7 on Sun Solaris 2.8. I have a TEMP tablespace of 60M by default, and I increased it to 500M to accomadate more space for sorting issues. Later when I tried to reduce the space back to 60M, I got the error "ORA-04031 UNABLE TO ALLOCATE 4180 BYTES OF SHARED MEMORY". So I did "alter tablespace TEMP default storage(pctincrease 0);", but it was no use. I still get the error. Will shutting down and bringing back the instance solve this problem? Is this a serious issue in the sense of will it affect the database performing? How do I get rid of this and bring my TEMP tablespace SPACE back to 60 MB? I logged in as SYS account.

The error message you are receiving is unrelated to your TEMP tablespace. You are getting this message because your Shared Pool will not let your process allocate 4180 bytes of memory. The Shared Pool is supposed to manage its memory and you should not be getting this error message unless the Pool is sized too low. There is a bug in Oracle 8.1.7 which causes this message to appear even in a correctly sized pool. The bug is fixed in Oracle so a patch is most likely in order for you.

Bouncing the database will resolve your problem so that you can resize your TEMP tablespace. But be prepared to see this message at other times until the patch is applied.

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