This paper presents a general framework for the design and randomized analysis of geometric algorithms. These algorithms are on-line and the framework provides general bounds for their expected space and time complexities when averaging over all permutations of the input data. The method is general and can be applied to various geometric problems. The power of the technique is illustrated by new efficient on-line algorithms for constructing convex hulls and Voronoi diagrams in any dimension, Voronoi diagrams of line segments in the plane, arrangements of curves in the plane, and others.