This book discusses statistical methods that are useful for treating problems in modern optics, and the application of these methods to solving a variety of such problems. The text covers the necessary background in statistics, statistical properties of light waves of various types, the theory of partial coherence and its applications, including imaging with partially coherent light, atmospheric degradations of images, noise limitations in the detection of light, and some statistical problems in fiber-optic communications. This new edition contains revisions throughout the book, including new figures, an expanded discussion of the Vander Pol oscillator, a new section on coherence tomography, a substantially revised discussion of imaging with partially coherent light, an improved presentation of the effects of atmospheric turbulence on imaging systems, including several methods for overcoming those limitations, and a new chapter on statistical problems in fiber-optic communication.