PICTURE CODING AND HUMAN VISUAL SYSTEM FUNDAMENTALS. Digital Picture Compression and Coding Structure. Fundamentals of Human Vision and Vision Modeling. Coding Artifacts and Visual Distortions. PICTURE QUALITY ASSESSMENT AND METRICS. Video Quality Testing. Perceptual Video Quality Metrics-A Review. Philosophy of Picture Quality Scale. Structural Similarity Based Image Quality Assessment. Vision Model Based Digital Video Impairment Metrics. Computational Models for Just-Noticeable Difference. No-Reference Quality Metric for Degraded and Enhanced Video. Video Quality Experts Group. PERCEPTUAL CODING AND PROCESSING OF DIGITAL PICTURES. HVS Based Perceptual Video Encoders. Perceptual Image Coding. Foveated Image and Video Coding. Artifact Reduction by Post-Processing in Image Compression. Reduction of Color Bleeding in DCT Block-Coded Video. Error Resilience for Video Coding Service. Critical Issues and Challenges. Appendix: VQM Performance Metrics. Index.