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Perceiving three-dimensional video imagery appropriately in a display requires matching parameters throughout the imaging pathway, such as inter-aperture distance at the stereoscopic camera side with parallax shifting at the display side. In addition, many tradeoffs and compromises are often made at different points in the imaging pathway, leading to common perceptual distortions. Some of these may be simple two-dimensional image distortions such as display surface noise, while others are three-dimensional distortions, such as global geometric scene distortions and localized depth errors around edges. There is an increasing use of various forms of signal processing to modify the images, either for compensation of distortions due to system limitations, display constraints, formatting and compression for efficient transmission, or making depth range adjustments dependent on the display viewing conditions. Perceptual issues are critical to the design of the entire imaging pathway and this paper will highlight some of those due to stereoscopic signal processing.