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A theoretical model for studying the effects of optical gain and the cavity-mode squeezing on the spectrum of radiation produced by coherently driven two-level atoms is developed. The squeezing of the cavity mode dramatically affects the central component leading to a spike in the spectrum which becomes more pronounced with the increase in optical gain and squeezing. The squeezing can also affect the three photon Rabi sideband and can facilitate laser oscillation at such frequencies.
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G. S. Agarwal (1989) studied this question.
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