the scarlet letter concerning allegorical romance: blend of the actual and the imaginary

This is a pretty loaded question, especially for The Scarlet Letter. Let's take a look at Pearl, Hester’s daughter. The Puritans view her as an illegitimate and sinful product of an unholy affair. She , however, is a symbol of all that Hester sacrifices to have her in this Puritan hell. Pearl is what raises Hester above despair. Pearl is instrumental in bringing Hester out of persecution and into favour. Thus Pearl becomes something "pure" in Hester’s life and the community. Pearl, like her name is precious, because she comes from great sacrifice.

The Scarlet letter itself is interesting. Although the meaning is supposed to symbolize adultery and sin, it becomes something else. Because of Hester's pious work ethic and charity the meaning of the letter turns into a virtue. Some people in the town begin to suggest that the A means "able" .

Allegory extends throughout the novel but these two examples should be helpful to you.