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The interplay of magnetism and electronic correlations dominates the physical properties of many rare-earth elements and their compounds. The investigation of the mutual influence of the localized 4f electrons and itinerant band electrons represents a challenging task in theoretical as well as experimental physics. Research areas of current interest are the electronic structure as determined from calculations and spectroscopies, the magnetic properties in three- and low-dimensional systems, open questions concerning transport such as spin disorder resistivity, and the influence of structure and morphology.