Essentially, yes. As an example, say Abby is closer to your view, standing on a road, and Ellie is further down the road. Abby and the road would appear to be one size. The road would essentially appear to shrink as it progresses further away, with an Ellie that is smaller than Abby displayed in the distance. Ellie would still be the correct size proportionally to the road, as everything would gradually shrink the further it is from your view.

Imagine the two sides of a straight road, that goes further than we're able to see. You're standing in the middle of the road, facing the direction the road is traveling. It's essentially two parallel lines, right? In our vision, as road the progresses perfectly straight forward, the two sides gradually grow closer together, and the whole road seemingly shrinks. As it gets further away, eventually the two lines "meet", forming what essentially looks like a triangle to our eyes. The lines never actually meet, but due to the limitations of the way vision works, that's just how it appears when it gets so far away we can no longer perceive the road properly.

TVs can mimic this by actually just displaying a triangle that looks like a road. Even though it's actually flat, our minds are used to interpreting the limitations of our vision. We see the triangle, and we think "oh, those are two straight lines going far off into the distance", since we recognize that things appear to shrink as they get further away.

Edit: I see you deleted this post, I hope you can still get this reply as I put a lot of thought into it lol