During positive half cycle of input AC voltage, the p−n junction is forward biased. The resistance of p−n junction is low. The current in the circuit is maximum. In this situation, a maximum potential difference will appear across resistance connected in series of circuit. Due to it, there is no output voltage across p−n junction.
During the negative half-cycle of input AC voltage the p−n junction is reverse biased. The resistance of p−n junction becomes high which will he more than resistance in series. Due to it, there will be voltage across p−n junction with negative cycle in output.