Energy transfer in solar flares

We review the recent advances in the field of energy transfer and dissipation in solar flares. New observations and theoretical results have been obtained during the SMY and discussed in several workshops. Important new results have been provided by imaging hard X-ray and radio observations, high resolution spectra in the soft X-ray range, polarization measurements and combined optical, gamma- and X-ray data. We summarize results on the following topics: a) interpretation of hard X-ray bursts; b) heating and cooling of X-ray flare plasmas; c) chromospheric heating and evaporation; d) white-light flares. An overall picture of the importance of transfer processes is given, together with prospects for development of future research topics.