Mr. James is demonstrating a false belief called a delusion since he incorrectly believes that people are constantly laughing at him.
Delusion is when someone believe on something whereas there are enough evidence to proof contrary. It is a wrong belief centred on incorrect inference.
Delusions are often brough about by the misinterpretation of events hence delusions involve some level of paranoia.
Hence, Mr. James is demonstrating a false belief called a delusion since he incorrectly believes that people are constantly laughing at him.
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