In De Anima iii 3, Aristotle ascribes the ability to create, to store, and to recall images in the absence of perception to the faculty of imagination, phantasia
One component of Aristotle's theory of dreams disagrees with previously held beliefs
He claimed that dreams are not foretelling and not sent by a divine being
Aristotle reasoned naturalistically that instances in which dreams do resemble future events are simply coincidences
Aristotle claimed that a dream is first established by the fact that the person is asleep when they experience it
If a person had an image appear for a moment after waking up or if they see something in the dark it is not considered a dream because they were awake when it occurred
Secondly, any sensory experience that is perceived while a person is asleep does not qualify as part of a dream
For example, if, while a person is sleeping, a door shuts and in their dream they hear a door is shut, this sensory experience is not part of the dream
Lastly, the images of dreams must be a result of lasting impressions of waking sensory experiences
Practical philosophy 
Aristotle's practical philosophy covers areas such as ethics, politics, economics, and rhetoric
Ethics 

Aristotle considered ethics to be a practical rather than theoretical study, i.e., one aimed at becoming good and doing good rather than knowing for its own sake
He wrote several treatises on ethics, most notably including the Nicomachean Ethics
Aristotle taught that virtue has to do with the proper function (ergon) of a thing
An eye is only a good eye in so much as it can see, because the proper function of an eye is sight
Aristotle reasoned that humans must have a function specific to humans, and that this function must be an activity of the psuchē (soul) in accordance with reason (logos)
To have the potential of ever being happy in this way necessarily requires a good character (ēthikē aretē), often translated as moral or ethical virtue or excellence
Politics 

In addition to his works on ethics, which address the individual, Aristotle addressed the city in his work titled Politics
Aristotle considered the city to be a natural community
Moreover, he considered the city to be prior in importance to the family, which in turn is prior to the individual, "for the whole must of necessity be prior to the part"
He famously stated that "man is by nature a political animal" and argued that humanity's defining factor among others in the animal kingdom is its rationality
Aristotle conceived of politics as being like an organism rather than like a machine, and as a collection of parts none of which can exist without the others
Aristotle's conception of the city is organic, and he is considered one of the first to conceive of the city in this manner
The common modern understanding of a political community as a modern state is quite different from Aristotle's understanding
Aristotle's views on women influenced later Western philosophers, who quoted him as an authority until the end of the Middle Ages, but these views have been controversial in modern times
Aristotle's analysis of procreation describes an active, ensouling masculine element bringing life to an inert, passive female element
On this ground, proponents of feminist metaphysics have accused Aristotle of misogyny and sexism
However, Aristotle gave equal weight to women's happiness as he did to men's, and commented in his Rhetoric that the things that lead to happiness need to be in women as well as men
Economics 

Aristotle made substantial contributions to economic thought, especially to thought in the Middle Ages
In Politics, Aristotle addresses the city, property, and trade
Aristotle believed that although communal arrangements may seem beneficial to society, and that although private property is often blamed for social strife, such evils in fact come from human nature
In Politics, Aristotle offers one of the earliest accounts of the origin of money
Money came into use because people became dependent on one another, importing what they needed and exporting the surplus
For the sake of convenience, people then agreed to deal in something that is intrinsically useful and easily applicable, such as iron or silver
Aristotle's discussions on retail and interest was a major influence on economic thought in the Middle Ages
He had a low opinion of retail, believing that contrary to using money to procure things one needs in managing the household, retail trade seeks to make a profit
It thus uses goods as a means to an end, rather than as an end unto itself
He believed that retail trade was in this way unnatural
Similarly, Aristotle considered making a profit through interest unnatural, as it makes a gain out of the money itself, and not from its use
Aristotle gave a summary of the function of money that was perhaps remarkably precocious for his time
Money thus allows for the association of different goods and makes them "commensurable"
He goes on to state that money is also useful for future exchange, making it a sort of security
That is, "if we do not want a thing now, we shall be able to get it when we do want it"
Aristotle also outlines two kinds of rhetorical proofs: enthymeme (proof by syllogism) and paradeigma (proof by example)
Aristotle states that mimesis is a natural instinct of humanity that separates humans from animals and that all human artistry "follows the pattern of nature"
The forms also differ in their object of imitation
Comedy, for instance, is a dramatic imitation of men worse than average; whereas tragedy imitates men slightly better than average
Lastly, the forms differ in their manner of imitation – through narrative or character, through change or no change, and through drama or no drama
While it is believed that Aristotle's Poetics originally comprised two books – one on comedy and one on tragedy – only the portion that focuses on tragedy has survived
Aristotle taught that tragedy is composed of six elements: plot-structure, character, style, thought, spectacle, and lyric poetry
The characters in a tragedy are merely a means of driving the story; and the plot, not the characters, is the chief focus of tragedy