In this dissertation, we address the problem of minimizing the end-to-end distortion in wireless video communication. We first analytically derive transmission distortion as a function of video statistics, channel conditions and system parameters for wireless video communication systems. Then we design practical algorithms to estimate the system parameters and video statistics. Given the channel condition, we may accurately predict the instantaneous transmission distortion by our formulae and estimation algorithms. We also prove a new theorem to extend our algorithms to support rate-distortion optimized mode decision in practical video codecs. Finally, we derive a more accurate source bit rate model and quantization distortion model than existing parametric models. Our models help us to design a rate-distortion optimized cross-layer rate control algorithm for minimizing the end-to-end distortion under resource constraints in wireless video communication systems. Our results achieve remarkable performance gains over existing solutions.