Seminal papers in Image Processing

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First mathematically rigorous formulation of the concept of correlation between two variables. This is where Pearson's linear coefficient was defined (even though he called it the Galton function or coefficient of correlation).
Definition of Cohen's kappa coefficient, the first measure of interobserver agreement.
Beginning of Information Criteria to compute the intrinsic dimensionality of a model, i.e. what is the best compromise between Goodness of Fit and parsimony of a model.
The first definition of shape as understood in computer vision that I could find.
First proper definition of an (intensity) edge detector.
Bookstein introduced configurations of landmarks (points with a biological correspondence) from morphometrics to computer vision to explain geometry and deformation. But in fact, Kendall noted that this was an approximation to his own work, more mathematically formal. He reworded his original definition of shape (Kendall 1977) as 'Shape is what remains when location, size, and rotational effects are filtered out'.
First time that using PCA in computer vision was proposed (to model images of faces).
Proposal of active contour models (snakes), and the start of energy minimisation deformable models.
The starting point for image non-rigid registration. How to compute dense deformation fields from discrete sets of points.
Proposal of using a global model followed by a local model, and using a multiresolution scheme, for image registration (and by extension, segmentation) algorithms. This is the standard heuristic. They argued that it is not only efficient but necessary to ignore high resolution information when computing large displacements.
Proposed computing a shape space applying PCA to landmark configurations, and called it the Point Distribution Model (PDM)
Introduction of Mutual Information (MI) to image registration, that enables registration of images from different modalities (i.e. CT to MRI).