>> Most transform coding methods work not by *discarding* points, but by
>> *quantinising* them according to how "important" they are deemed to be.
>
> IIRC, normal JPEG actually does indeed not only quantitize the samples
> but can also set some of them strictly to zero. I.e., all you need to do
> is quantitize with sufficiently coarse resolution such that every
> possible value falls into the same "zero" bucket and bob's your uncle.

Yes, that's true. But quantinising is strictly more general than just 
discarding points.

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