A substantial amount of scanning probe microscopy (SPM) imaging must b
e performed at nanometer or angstrom resolution. This requires a very
high dynamic range from the z-displacement DAC or feedback ADC, so tha
t this fine detail tends to be very coarsely digitized. This paper exa
mines some nonlinear effects that occur at the level of least-bit digi
tization and that can affect the resolution of atomic-scale detail. In
particular, the interactions of limit cycling and cooperative behavio
r are examined. We show that in most cases the maximum signal-to-noise
ratio is obtained for some finite non-zero noise level, and that in s
ome cases the optimum noise level can be predicted beforehand. In many
cases, the correct noise level can be implemented by adjustment of fe
edback control parameters.