The theory of the optical multistability by two-photon resonant interaction is investigated. The nonlinear medium inside a Fabry-Perot cavity is in two-photon resonance with the laser beam. The two-photon equation of state including dynamical Stark shift and relaxation parameters is obtained and studied under mean-field approximation. The equations for both Fabry-Perot cavity and ring cavity take basically the same form. The physics mechanisms resulting in optical multistability are also studied. It has been shown that the combined effects of Kerr switching and saturation absorption switching can lead to two-photon optical double-bistability, tristability as well as bistability. Furthermore, the criterion conditions under which double-bistability or tristability can occur are given and discussed. Finally, the phase-conjugated reflectivity by two-photon four-wave mixing is also shown to exhibit multistability as well as hysteresis.
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