No matter how artificial an experimental situation may at first appear, if participants think, feel, or react the way that people in a real-life situation would react, the experiment has

high psychological realism.            

Explanation:

Psychological realism: In psychology, the term psychological realism is defined as a specific literary method whereby a particular piece of fiction aims at psychological processes, interior motives, and a particular character's or subject's mental narratives rather than telling a specific story precisely. The psychological realism is also referred to as psychological novels. It came into existence around the late 19th and 20th centuries.

In the question above, the given statement signifies the high psychological realism.

its

c. reserves power to the states and people