The advent of lasers in the 1960s led to the development of many new fields in optical physics. This book is a systematic treatment of one of these fields — the broad area that deals with the coherence and fluctuation of light. The authors begin with a review of probability theory and random processes, and follow this with a thorough discussion of optical coherence theory within the framework of classical optics. They next treat the theory of photoelectric detection of light and photoelectric correlation. They then discuss in some detail quantum systems and effects. The book closes with two chapters devoted to laser theory and one on the quantum theory of nonlinear optics. The sound introduction to coherence theory and the quantum nature of light and the chapter-end exercises will appeal to graduate students and newcomers to the field. Researchers will find much of interest in the new results on coherence-induced spectral line shifts, nonclassical states of light, higher-order squeezing, and quantum effects of down- conversion. Written by two of the world's most highly regarded optical physicists, this book is required reading of all physicists and engineers working in optics.