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Power optimization techniques are becoming increasingly important in wireless system design since battery technology has not kept up with the demand of mobile devices. They are also critical to interference management in wireless systems because interference usually results from both aggressive spectral reuse and high power transmission and severely limits system performance. In this paper, we develop an energy-efficient power optimization scheme for interference-limited wireless communications. We consider both circuit and transmission powers and focus on energy efficiency over throughput. We first investigate a non-cooperative game for energy-efficient power optimization in frequency-selective channels and reveal the conditions of the existence and uniqueness of the equilibrium for this game. Most importantly, we discover a sufficient condition for generic multi-channel power control to have a unique equilibrium in frequency-selective channels. Then we study the tradeoff between energy efficiency and spectral efficiency and show by simulation results that the proposed scheme improves both energy efficiency and spectral efficiency in an interference-limited multi-cell cellular network.