The theoretical limits of 'lossy' data compression algorithms are considered. The complexity of an object as seen by a macroscopic observer is the size of the perceptual code which discards all information that can be lost without altering the perception of the specified observer. The complexity of this macroscopically observed state is the simplest description of any microstate comprising that macrostate. Inference and pattern recognition based on macrostate rather than microstate complexities will take advantage of the complexity of the macroscopic observer to ignore irrelevant noise.