Final answer:
The statement is TRUE, as grand theories of personality, such as those proposed by Sigmund Freud and the neo-Freudians, often made indirect references to narrative in explaining personality development and its mechanisms.
Step-by-step explanation:
The statement that many of the grand theories of personality made indirect references to the power of narrative is TRUE. The grand theories, especially those by Sigmund Freud, often tapped into the narrative aspect of personality, albeit indirectly. Freud's theory centers on unconscious drives, childhood experiences, and the development of the id, ego, and superego, which influence how stories and personalities are crafted and understood. Characters in personal narratives, as well as case studies in psychoanalysis (which could be seen as narrative), reflect key personality traits. This aligns with trait theorists' focus on characteristic behaviors and tendencies. Furthermore, Freud's followers, the neo-Freudians, continued to emphasize the impact of social and cultural narratives on personality development.
Freud's method of psychoanalysis itself had a strong narrative component, as it involved patients recounting personal histories (narratives) that would expose unconscious desires and conflicts. Whether through the psychosexual stages of development or through dream analysis, Freud's work showcased how personal stories and symbolic narratives could shape the understanding of the self and therefore, personality.