We develop the quantum inverse scattering method for the one-dimension
al Hubbard model on the infinite line at zero density, This enables us
to diagonalize the Hamiltonian algebraically. The eigenstates can be
classified as scattering states of particles, bound pairs of particles
and bound states of pairs. We obtain the corresponding creation and a
nnihilation operators and calculate the S-matrix, The Hamiltonian on t
he infinite line is invariant under the Yangian quantum group Y(su(2))
, We show that the n-particle scattering states transform like n-fold
tensor products of fundamental representations of Y(su(2)) and that th
e bound states are Yangian singlet. (C) 1998 Elsevier Science B.V.