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Based on Particle Swarm Optimization (PSO) Algorithm and Canonical Signed Digit (CSD) encoding, an optimal design method for FIR filters is presented in order to reduce the pass-band ripple and power consumption of the integrated circuits. For the slow convergence and invalidate CSD encoding accompanying with the update and mutation operations in PSO, some solutions are given. Simulation results show that the pass-band ripple is reduced and faster convergence is obtained. Applied in the design of cascade filter, the proposed algorithm can greatly reduce the pass-band ripple.