If you create a figure and axes ahead of time with Position covering most of the width of your screen you can probably get up to the range of 8 percent, maybe even as high as 20 percent if you have a tall screen. Also, image() has less overhead decoration than imshow.
But it is not clear what you mean by "fixing" the problem of displaying an image that your image is much much taller than your screen??
If what you are doing is capturing the displayed image in order to get a pseudo color or color scaled version of it, then do not go through displaying it at all. ind2rgb can be used to convert integer grayscale into rgb. im2uint8 can be used to convert double in 0 to 1 range into uint8. mat2gray can be used to rescale arbitrary range to 0/1.
im2uint8 is more complicated than you would expect: the seemingly obvious computations do not work out properly on the upper and lower edges of the range.
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