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The usual auto correction options are just not enough when attempting to improve the quality of a grayed-out photo like the one below. In this tutorial, I'll show you some techniques to dramatically improve such photos, using adjustment layers in Photoshop CS.
Make a small marquee selection of an area which represents (or should represent) a fair amount of contrast.
Choose Curves from the pop-up menu.
Click on Options to display the Auto Color Correction Options dialog box.
Since you made a selection, the rest of the adjustment layer is masked and therefore not visible. You should notice an automatic increase in the contrast. Note that when working on images that are black and white, but scanned in RGB mode, you can use Enhance Per Channel Contrast to provide a little more "edginess" than what would normally be possible in grayscale mode. This approach lets you enhance the contrast independently in each of the channels to create a more vibrant effect.
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