Originally posted by skritsys
I'll give a very cursory explination.
You have two main "functions", your Judging(j) and your Percieving(p) functions. Percieving can be either Sensing(s) or Intuitive(n). Sensing looks at the details of the object, the stuff you take in via your 5 senses. Intuition looks at concepts and how things relate. Judging can be either Thinking(t) or Feeling(f). Thinking makes decisions based on the facts involved. Feeling makes decisions based on the values(how you feel about stuff) of the things involved. No particular method of percieving or judging is superior to another, and everyone actually uses both methods in each category. Now, a function is applied in a "direction", it's either Extroverted(e) or Introverted(i). Extroversion looks outside the person at the world around them, while introversion looks within the person. For example, an extroverted intuitive would be looking at the manipulation and interaction of physical objects, while an introverted intuitive would look at how the knowledge and emotions they hold interact and can be manipulated. Once again, no "direction" is superior and you use both directions on either function. Finally, you tend toward either your Judging function or your Percieving function. Judgers are more decisive and goal-oriented, while Percievers spend more time just considering a decision and enjoy the journey more than the actual destination. Neither preference is superior, and you have to use both throughout life. Another thing, the percieving function and judging function will always be preferred in opposite directions. If your percieving is preferred extroverted, your judging will be preferred introverted.
So, the acronym tells you (in this order): direction of the preferred function, percieving function, judging function, which function is extrovertedly preferred (due to an issue with testing). Mine, ENTP, says that I prefer extroverted intuition and introverted thinking. Since these are preferrences, and another ENTP could express a different degree in each preferrence, there are multiple ways a person could manifest an "ENTP personality".
It is important to note, that AFAIK, the Jungian school of psychology is not particularly popular in modern psychology. It is an interesting study though. Also, Meyers-Briggs is subject to much controversy, as many find it too vague and it's not really very useful in real world applications. There is also an alternate theory on the subject called Socionics.
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