Abstract: A motion estimation method capable of reducing the amount of calculation as compared to a full search method. In the method, a coarse search block and fine search blocks are defined. The fine search blocks are given by dividing the coarse search block into a plurality of blocks so that the fine search blocks are contained in the coarse search block. A sparsely interpolated image and a densely interpolated image are defined. A first search is performed using the defined coarse search block and the defined sparsely interpolated image. A second search is performed using the defined coarse search block and the defined densely interpolated image. With regard to search blocks belonging to the fine search blocks, only a surrounding region of an optimal point obtained in the first search is searched.