The quantum Hall effect and associated quantum transport phenomena in low-dimensional systems have been the focus of much attention for more than a decade. Recent theoretical development of interesting quasiparticles - `composite fermions' - has led to significant advances in understanding and predicting the behaviour of two-dimensional electron systems under high transverse magnetic fields. Composite fermions may be viewed as fermions carrying attached (fictitious) magnetic flux. Here we review models of the integer and fractional quantum Hall effects, including the development of a unified picture of the integer and fractional effects based upon composite fermions. The composite fermion picture predicts remarkable new physics: the formation of a Fermi surface at high magnetic fields, and anomalous ballistic transport, thermopower, and surface acoustic wave behaviour. The specific theoretical predictions of the model, as well as the body of experimental evidence for these phenomena are reviewed. We also review recent edge-state models for magnetotransport in low-dimensional devices based on the composite fermion picture. These models explain the fractional quantum Hall effect and transport phenomena in nanoscale devices in a unified framework that also includes edge state models of the integer quantum Hall effect. The features of the composite fermion edge-state model are compared and contrasted with those of other recent edge-state models of the fractional quantum Hall effect.