Why does the value of modulation index stay less than 1?
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Modulation index(m) is basically the ratio of peak voltage of modulating signal and peak voltage of carrier signal and amplitude modulation could be thought of as superimposition of modulations signal on the carrier. So when m is greater than one, over-modulation occurs and the modulating signal being of greater amplitude,part of its information is lost in the process of modulation which is undesirable. The resulting waveform looks like below, the gaps indicating part of modulating signal that is lost.
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