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Diffraction efficiency is the performance of diffractive optical elements – especially diffraction gratings – in terms of power throughput. It's a measure of how much optical power is diffracted into a designated direction compared to the power incident onto the diffractive element of grating.

If the diffracted power is designated with P {\displaystyle P} and the incident power with P 0 {\displaystyle P_{0}} the efficiency η {\displaystyle \eta } reads

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