Alternative energy resources (such as photovoltaics, fuel cells, wind turbines, micro-turbines, and internal combustion engines) and energy storage systems (such as batteries, supercapacitors, and flywheels) are increasingly being connected to the utility grid, creating distributed energy resources which require the implementation of an effective distributed power management strategy. Parallel-connected power converters form a critical component in such a distributed energy resources system. This dissertation addresses small-signal modeling and analysis of parallel-connected power converter systems operating in distributed energy environments. This work focuses on DC-DC and DC-AC power converters. First, this work addresses the small-signal modeling and analysis of parallel-connected power converters in a battery/supercapacitor hybrid energy storage system. The small-signal model considers variations in the current of individual energy storage devices and the DC bus voltage as state variables, variations in the power converter duty cycles as control variables, and variations in the battery and the supercapacitor voltages and the load current as external disturbances. This dissertation proposes several different control strategies and studies the effects of variations in controller and filter parameters on system performance. Simulation studies were carried out using the Virtual Test Bed (VTB) platform under various load conditions to verify the proposed control strategies and their effect on the final states of the energy storage devices. Control strategies for single DC-AC three-phase power converters are also identified and investigated. These include a novel PV (active power and voltage) control with frequency droop control loop, PQ (active power and reactive power) control, voltage control, PQ control with frequency droop control, and PQ control with voltage and frequency droop control. Small-signal models of a three-phase power converter system with these control strategies were developed, and the impact of parameter variations on the stability of a PV controlled converter were studied. Moreover, a small-signal model of parallel-connected three-phase DC-AC power converters with individual DC power supplies and network is proposed. The simulations carried out in stand-alone and grid-connected modes verify the combined control strategies that were developed. In addition, a detailed small-signal mathematical model that can represent the zero-sequence current dynamics in parallel-connected three-phase DC-AC power converters that share a single DC power source is presented. The effects of a variety of factors on the zero-sequence current are investigated, and a control strategy to minimize the zero-sequence current is proposed. Time-domain simulation studies verify the results. Simulations of a parallel-connected DC-AC power converter system with nonlinear load were carried out. The active power filter implemented in this system provides sharing of harmonic load between each power converter, and reduces harmonic distortion at the nonlinear load by harmonic compensation.