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A carrier is used to make the wavelength smaller for practical transmission and to permit multiplexing.

The spectrum is used to measure bandwidth (the range of frequencies) and the efficiency (the power in the side-bands compared to the total power)

Bandwidth can be predicted using BW = 2 fm where fm = the maximum modulating frequency

Efficiency depends only on the modulating index, m (the fraction of the carrier you modulate by)

AM is limited to 33% efficiency because the modulation index cannot be increased to > 1.0 without introducing distortion in the receiver.

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