In a large saucepan over low heat, melt caramels and milk, stirring often. (Or in a medium glass bowl, melt caramels and milk in microwave.) Place wooden sticks into stem ends of apples and dip into caramel until well coated. Place on a wax-paper-lined baking sheet or platter. Let caramel apples set and cool, about 10 minutes, before eating.