The primary objectives of this book are, firstly, to present the essential theoretical background needed to understand recent fusion research and, secondly, to describe the current status of fusion research for graduate students and senior undergraduates. It will also serve as a useful reference for scientists and engineers working in the related fields. In Part I, Plasma Physics, the author explains the basics of magneto-hydrodynamics and kinetic theory in a simple and compact way and, at the same time, covers important new topics for fusion studies such as the ballooning representation, instabilities driven by energetic particles and various plasma models for computer simulations. Part II, Controlled Nuclear Fusion, attempts to review the "big picture" in fusion research. All important phenomena and technologies are addressed, with a particular emphasis on the topics of most concern in current research.