The power of the antennas must be high enough to ensure acceptable data transfer rates. On the other hand, the country-specific legal regulations regarding maximum transmission power should not be exceeded.
The calculation of effective power considers everything from the radio module in the transmitting AP to the radio module in the receiving AP. In between there are attenuating elements such as the cable, plug connections or simply the air transmitting the signals and amplifying elements such as the external antennas.