Check out the blog post from 37signals' Signal vs. Noise blog about HP's new camera. The demo actually shows how you can make a person appear skinny right by squashing the picture.
What the hell is wrong with people? As if people don't already feel bad about the way they appear or what they weigh, now you can do this. As someone who did some counseling in college and coaches teenage girls, I can't even tell you how offensive this is to me. A friend of mine from college actually died of anorexia. This is not even remotely cool.