Thinking involves mental processes such as cognition, problem solving, reasoning, and decision making. It can involve different units like images, concepts, and language. Concepts allow us to categorize objects and ideas, while images are mental representations that resemble our perceptions. Language facilitates thinking through inner speech. There are two main types of thinking: unrealistic thinking like dreaming and daydreaming that lacks connection to reality, and realistic thinking like deductive, inductive, and evaluative reasoning. Problem solving is goal-directed and may use methods like trial and error or insight.