A psychological novel, also called psychological realism, is a work of prose fiction which places more than the usual amount of emphasis on interior characterization, and on the motives, circumstances, and internal action which springs from, and develops, external action. The psychological novel is not content to state what happens but goes on to explain the why and the wherefore of this action. In this type of writing character and characterization are more than usually important, and they often delve deeper into the mind of a character than novels of other genres. The psychological novel can be called a novel of the "inner man", so to say. In some cases, the stream of consciousness technique, as well as interior monologues, may be employed to better illustrate the inner workings of the human mind at work. Flashbacks may also be featured.
The Tale of Genji, written in 11th century Japan and often considered to be the first novel, has been called an early precursor of the psychological novel.