This chapter deals with measurement of the effect of interferon on experimental mammary carcinoma and leukemia with emphasis on interferon's cytoreductive effect. The direct antiproliferative effect of interferon on tumor cells, and the role of interferon on activating macrophages to exert direct tumoricidal activity, natural killer cell activity are augmented in response to interferon. Interferon or interferon inducers are found to be capable of enhancing natural killer cell tumoricidal activity on YAC, M109, and MBL-2 tumor cells. Interferon, when used in conjunction with tumor cytoreductive chemotherapy is also found to exert a more beneficial effect against a murine leukemia. The enhanced therapeutic response attained by interferon adjuvant treatment may have been due to its antiproliferative effect on residual leukemia cells that escaped cytoreductive chemotherapy and/or to the interferon-enhanced macrophage and natural killer cell tumoricidal activity. Evidence indicates that interferon exerts its antiproliferative effect on tumor cells through more than one mechanism, which are (a) a direct antiproliferative effect; and (b) enhancement of the cellular immune response by direct activation of natural macrophage and natural killer cell tumoricidal activity.