First, make sure the image you are working on is either grayscale or RGB. Go to Image > Mode > and either grayscale or RGB should be checked. If not select one (grayscale for B&W, RGB for color). Some of the other modes don't allow layers.
Make sure your layers palette is open. A lot of the work in Photoshop requires using that. Go to Windows > Layers.
Working on a layer, including copying it, requires that layer to be selected. If you open a non-layered image, such as a JPEG, then there will just be one layer called "Background". If you save a photoshop image with layers or some other formats, like a layered TIFF then each layer has a name. You can change any layers name except the background layer from a non-layered image. You can get around that by copying that layer to a new layer and deleting the original background layer. But there's not usually a need to do that.
To copy a layer and make a new layer the same, simply select the layer in the Layers palette and drag it down to the bottom onto the "New Layer icon and let go. A copy of that layer is made.
To copy an image or a portion of an image, select the layer the image is on and either go to Select > All or use one of the marquee tools to draw a rectangle, oval, or other shape around the area. Once selected then you can go to Edit > Copy to copy what is on the selected layer, or Edit > Copy Merged to copy what is within that area on all layers merged together.
If you immediately use Edit > Paste after doing a copy, a new layer is created with the copied info. You can also create a new blank image or go to any other image and do a paste and it will paste the copied area into that other image. As long as the image is a layered type (ie: grayscale, RGB, etc...) then it is pasted onto a new layer. If the image is a non-layerd type (ie: bitmap, indexed color) then it is merged with the background (the only layer allowed in that image).
To do something like a vignette I find it easiest to create a new layer above the image layer (select the image layer, then hit the New Layer icon at the bottom of the Layers palette). Then use the circle marquee tool to create a circle (hold shift to constrain it to a circle or don't hold shift to make it an oval). The go to Select > Inverse to select the area outside the circle instead of inside. Then go to Select > Feather and enter a number of pixels for how soft to make the edge. For example start with 4 or 8. Next, with the new blank layer selected in the layers palette, set the forground color to white and select the Paint Bucket tool. Click anywhere near the edge of the image. This will fill the outside area with white, covering the image. The white will fade aout near the circle and the image shows through.
Then go to Select > Deselect to remove the marquee.
You can save the image as a photoshop image for further work. You can also save a copy if you want as a JPEG to use in programs that don't take Photoshop images. Corel does take Photoshop images.
I hope that helps.
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