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Ethan Marcotte, author of Responsive Web Design, provides an excellent walk-through of responsive design techniques, utilizing

Flexible grids that expand or contract content based on screen resolution

Flexible images that decrease in size on smaller screens or increase to a set maximum size on larger screens

Media queries, which are elements of code that can be placed in a site’s HTML and stylesheet. These queries gather information about a device’s display capabilities and use them to serve up different styles accordingly.