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Part one of this book describes the principles of quantum field theory, and the significance of and theory behind effective action. Part two deals with quantum field theory in curved space-time and the effective action. These two parts provide the tools for understanding the rest of the book, which is devoted to selected problems of quantum gravity where the effective action plays a major role. This book assumes only a basic understanding of quantum field theory and general relativity. It will be of great interest to postgraduate students and researchers in theoretical high energy physics and gravitational theory.