The GW approximation (GWA) extends the well-known Hartree-Fock approximatio
n (HFA) for the self-energy (exchange potential), by replacing the bare Cou
lomb potential nu by the dynamically screened potential W, e.g. V-ex = iG n
u iis replaced by Sigma(GW) = iGW Mere G is the one-electron Green's functi
on. The GWA like the. HFA is self-consistent, which allows for solutions be
yond perturbation theory, like say spin-density waves. In a first approxima
tion, iGW is a sum of a statically screened exchange potential plus a Coulo
mb hole (equal to the electrostatic energy associated with the charge pushe
d away around a given electron). The Coulomb hole part is larger in magnitu
de, but the two parts give comparable contributions to the dispersion of th
e quasiparticle energy. The GWA can be said to describe an electronic polar
on (an electron surrounded by an electronic polarization cloud), which has
great similarities to the ordinary polaron (an electron surrounded by a clo
ud of phonons). The dynamical screening adds new crucial features beyond th
e HFA. With the GWA not only bandstructures but also spectral functions can
be calculated, as well as charge densities, momentum distributions, and to
tal energies. We will discuss the ideas behind the GWA, and generalizations
which are necessary to improve on the rather poor GWA satellite structures
in the spectral functions. We will further extend the GWA approach to full
y describe spectroscopies like photoemission, x-ray absorption, and electro
n scattering. Finally we will comment on the relation between the GWA and t
heories for strongly correlated electronic systems. In collecting the mater
ial for this review, a number of new Results and perspectives became appare
nt, which have not been published elsewhere.