Working in marketing it is really scarry what you can do with todays technology. Most of it is inncocent- making a product look its best or optimal condition. It can be used for very bad purposes. Newsweek ran a cover a few years back that was altered and caused a great controversy. I think that when a picture is enhanced it should be labeled as such.
Have you seen the humor file of animals with photoshop. A beetle with peace signs on it. A cow with a map of the world. An aligator with a human hand. Penquins with soccor balls. Brilliant job- very funny.