Refractive errors occur when there is a mismatch between the eye's optical power and its axial length, causing light rays to focus in front or behind the retina. The most common refractive errors are myopia, hyperopia, and astigmatism. Diagnosis involves using instruments like autorefractors and retinoscopes to measure how light enters the eye. Optical corrections include spectacle lenses, contact lenses, and intraocular lenses, with the type chosen based on factors like comfort, durability, and amount of correction needed.