  In this paper we report a theoretical model based on Green functions, Floquet
theory and averaging techniques up to second order that describes the dynamics
of parametrically-driven oscillators with added thermal noise. Quantitative
estimates for heating and quadrature thermal noise squeezing near and below the
transition line of the first parametric instability zone of the oscillator are
given. Furthermore, we give an intuitive explanation as to why heating and
thermal squeezing occur. For small amplitudes of the parametric pump the
Floquet multipliers are complex conjugate of each other with a constant
magnitude. As the pump amplitude is increased past a threshold value in the
stable zone near the first parametric instability, the two Floquet multipliers
become real and have different magnitudes. This creates two different effective
dissipation rates (one smaller and the other larger than the real dissipation
rate) along the stable manifolds of the first-return Poincare map. We also show
that the statistical average of the input power due to thermal noise is
constant and independent of the pump amplitude and frequency. The combination
of these effects cause most of heating and thermal squeezing. Very good
agreement between analytical and numerical estimates of the thermal
fluctuations is achieved.
