Final answer:
The Two Factor Theory, also known as the Schachter-Singer two-factor theory of emotion, explains how emotions are composed of physiological arousal and cognitive appraisal.
Step-by-step explanation:
The Two Factor Theory, also known as the Schachter-Singer two-factor theory of emotion, explains how emotions are composed of two factors: physiological arousal and cognitive appraisal. According to this theory, physiological arousal is interpreted in context to produce the emotional experience. In other words, our interpretation of our physiological arousal determines the specific emotion we experience. For example, if we interpret our sympathetic nervous system activation as fear, we will experience fear.