Final answer:
American Mythology is characterized by incredible events, historical settings that convey positive national messages, and remarkable characters; unlike literary analysis, it emphasizes the instructive nature of myths.
Step-by-step explanation:
The characteristics of an American Mythology include A. Incredible or mysterious events and their consequences, B. Settings in the past in remote or exciting places and times along with a positive message about the nation or people, and C. Remarkable, strange, or exaggerated characters. These elements highlight the ideological foundation that myths provide for national cohesion, as noted by historian Kim Byung-Joon.
Myths, including American ones, often blend the line between the imaginary and the factual, sometimes contradictory to historical evidence. While D. Psychological analysis might be a feature of some literary works, it is not a defining characteristic of myths, which are more focused on the moral or instructional content they provide to a society.