Proper tire inflation is different for every situation. For street use, and in some moderate performance applications, thebest determination of proper pressure is in the treadwear, and in the contact patch. A proper tread contact patch will be the width of the tread, with no shoulders touching, and with a result of even wear across the tire. "Chalking" the tire tread, and seeing where it rubs off, will help give an indication what this pressure should be. When you get into serious performance applications, it gets a little more complex, and the quickest and surest way of determining the correct pressure, is through temperature readings across the tire tread. When the correct pressure has been determined, a compromise is then made, between this optimal pressure and the pressure that gives the most desirable ride characteristics. These can be noise, road feel, harshness of ride, or fuel economy. My personal choice has always been for the best tire wear, which means that the tire is loaded evenly, and not too hard (riding more on the center of the tread), or too soft (riding more on the outsides of the tread).