The theory of nonclassical light (NCL) is reviewed in relation to seco
nd-order correlation functions. The differences between classical and
nonclassical light and general properties of squeezed states are descr
ibed. The theory of photon counting for interference between squeezed
vacuum states and coherent states is analyzed. Homodyne and heterodyne
detection is treated by dividing this method into four topics: (a) th
e photocurrent spectrum measured by a photomultiplier and its relation
to the properties of light; (b) spatial correlations obtained by two
photomultipliers for NCL; (c) the influence of a beam splitter on phot
on statistics; and (d) two-port homodyne detection, where the properti
es of the second-order correlation functions are related to normal and
anomalous first-order correlation functions. The general theory gives
an original approach to the problem of a volume of quantization for N
CL.