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Space weather effects arise from the dynamic conditions in the Earth’s space environment driven by processes on the Sun. While some effects are influenced neither by the properties of nor the processes within the Earth’s magnetosphere, others are critically dependent on the interaction of the impinging solar wind with the terrestrial magnetic field and plasma environment. As the utilization of space has become part of our everyday lives, and as our lives have become increasingly dependent on technological systems vulnerable to space weather influences, understanding and predicting hazards posed by the active solar events has grown in importance. This review introduces key dynamic processes within the magnetosphere and discusses their relationship to space weather hazards.