DescriptionSparse reconstruction algorithms aim to retrieve high-dimensional sparse signals from a limited amount of measurements under suitable conditions. As the number of variables go to infinity, these algorithms exhibit sharp phase transition boundaries where the sparse retrieval breaks down. Several sparse reconstruction algorithms are formulated as optimization problems. Few of the prominent ones among these have been analyzed in the literature by statistical mechanical methods. The function to be optimized plays the role of energy. The treatment involves finite temperature replica mean-field theory followed by the zero temperature limit. Although this approach has been successful in reproducing the algorithmic phase transition boundaries, the replica trick and the non-trivial zero temperature limit obscure the underlying reasons for the failure of the algorithms. In this thesis, we employ the ``cavity method" to give an alternative derivation of the phase transition boundaries, working directly in the zero-temperature limit. This approach provides insight into the origin of the different terms in the mean field self-consistency equations. The cavity method naturally generates a local susceptibility which leads to an identity that clearly indicates the existence of two phases. The identity also gives us a novel route to the known parametric expressions for the phase boundary of the Basis Pursuit algorithm and to the new ones for the Elastic Net. These transitions being continuous (second order), we explore the scaling laws and critical exponents that are uniquely determined by the nature of the distribution of the density of the nonzero components of the sparse signal. Not only is the phase boundary of the Elastic Net different from that of the Basis Pursuit, we show that the critical behavior of the two algorithms are from different universality classes.