A review of the modern state of the lunar libration theory is presented. A
significant progress in the lunar investigation is achieved due to the simu
ltaneous processing of results of the satellite Doppler tracing and of the
lunar laser ranging. The data evidencing existence of a small iron core in
the Moon are discussed. In this connection, the further development of the
theory of rotation of the Moon presents the study of internal structure and
dynamics of a lunar body. A model of a two-layer Moon can have a very adva
nced application to explain some observed phenomena and to be as a first ap
proach in the modelling of internal processes determining the lunar rotatio
n.