Despite the skill and determination of electro-optical system designers, the images acquired using their best designs often suffer from blur and noise. The aim of an “image enhancer” such as myself is to improve these poor images, usually by digital means, such that they better resemble the true, “optical object,” input to the system. This problem is notoriously “ill-posed,” i.e. any direct approach at inversion of the image data suffers strongly from the presence of even a small amount of noise in the data. In fact, the fluctuations engendered in neighboring output values tend to be strongly negative-correlated, so that the output spatially oscillates up and down, with large amplitude, about the true object. What can be done about this situation? As we shall see, various concepts taken from statistical communication theory have proven to be of real use in attacking this problem. We offer below a brief summary of these concepts.
Asymptotic Analysis of Forward Performance Processes in Incomplete Markets and Their Ill-Posed HJB Equations