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Variational analysis has been recognized as a fruitful area in mathematics that on the one hand deals with the study of optimization and equilibrium problems and on the other hand applies optimization, perturbation, and approximation ideas to the analysis of a broad range of problems that may not be of a variational natur. One of the most characteristic features of modern variational analysis is the intrinsic presence of nonsmoothness, which naturally enters not only through initial data of optimization-related problems but largely via variational principles and perturbation techniques. Thus generalized differential lies at the hear of variational analysis and its applications.§This monographs contains a comprehensive and and state-of-the art study of the basic concepts and principles of variational analysis and generalized differentiation in both finite-dimensional and infinite dimensional spaces and presents numerous applications to problems in the optimization, equilibria, stability and sensitivity, control theory, economics, mechanics, etc. The book is published in two volumes, the first of which is mainly devoted to the basic theory of variational analysis and generalized differentiations, while the second volume contains various applications. Both volumes contain abundant bibliographies and extensive commentaries.§This book will be of interest to researchers and graduate students in mathematical sciences. It may also be useful to a broad range of researchers, practitioners, and graduate students involved in the study and applications of variational methods in economics, engineering, control systems, operations research, statistics, mechanics, and other applied sciences.Comprehensive and state-of-the art study of the basic concepts and principles of variational analysis and generalized differentiation in both finite-dimensional and infinite-dimensional spaces§Presents numerous applications to problems in the optimization, equilibria, stability and sensitivity, control theory, economics, mechanics, etc.