The conformal factor of the spacetime metric becomes dynamical due to the trace anomaly of matter fields. Its dynamics is described by an effective action which we quantize by canonical methods on the Einstein universe $R\times S^3$. We find an infinite tower of discrete states which satisfy the constraints of quantum diffeomorphism invariance. These physical states are in one-to-one correspondence with operators constructed by integrating integer powers of the Ricci scalar.

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