Earlier quoted context omitted.
Yea I think it's ok to edit as long as it doesn't produce significant logical inconsistencies from the original (A=>B) - e.g. two missiles are turned into three; or it seemed to be late afternoon which can be made to seem nighttime from color balance (when that's significant). Procedures like blurring shouldn't be able to cause those because like you mentioned the could have been done in situ with a camera, and they…
There are certainly some cases where the line is a bit blurry. Consider this: http://www.dailymail.co.uk/news/article-2544662/Pulitzer-Pri... The edit doesn't really introduce any "logical inconsistencies", it just acts to "remove" the photographer from the scene (by way of removing his other camera), and yet it was ultimately a fire-able-offense.
He removed another photographer's camera, essentially exaggerating his own ability to get pictures that other photographers cannot.