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When the modulating signal is greater than the carrier it can cause over modulation, that will cut of the peaks of the modulating signal and when detected by the receiver the final audio signal will also show the flat peaks and the results will be a distorted sound at the speaker. A 90% modulation is always better than a 100% modulation. In the case of frequency modulation it will cause the frequency to shift to much and will result in a to wide band and will cause adjacent channel interference, it can be so severe that a transmitter can occupy the whole spectrum of the band that is allocated for FM broadcasting.

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