My reference is The Moon Illusion by L. Kaufman and I. Rock in Scientific
American July 1962.
The problem does exist only in our heads. Stand on your head or bend over
and view the moon through your legs and it disappears.
The distortions due to variable refraction at sunset can be spectacular.
Here is a reference which may contain something. I do not have easy access to
Vistas in Astronomy, therefore I canoot check it. The bibliographic data is
from ADS Astronomy Abstract Service (http://adsabs.harvard.edu/).
Title:
Astronomy and the limits of vision
Authors: