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Nanoparticles of cerium oxide with a narrow size distribution are prepared by mixing cerium nitrate solution with an ammonium reagent. High-resolution transmission electron microscopy (TEM) indicates that over 99% of the synthesized particles are single crystals. TEM and photon absorption are used to monitor particle size. The lattice parameter increases up to 0.45% as the particle size decreases to 6 nm, as observed with x-ray diffraction. Raman spectra also suggest the particle-size effect and concomitant lattice expansion. The lattice expansion can be explained by increased concentrations of point defects with decreasing particle size.