The Average Filter resampling option determines the gray level from the mean of all pixels in a square or rectangular kernel surrounding the input coordinates and assigns the value to the output coordinates.
The mean is determined by calculating the sum of all pixels in the kernel and then dividing by the number of pixels in the kernel. To filter pixels located near the edges of the image, edge pixel values are replicated to produce sufficient data. This method smooths the appearance of the image.
You control the size of the kernel with the Filter Size option by typing the number of pixels in width in the X box and the number of pixels in length in the Y box.
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