Realistic means closely resembling real life, either in appearance or in how things actually happen. It can also mean having a sensible, practical understanding of what is possible.
It comes from “realist,” from French “réaliste,” based on “réel” (real), from Late Latin “realis.” The artistic and practical senses grew in the 19th century, especially with realism in art and literature.
Calling a movie “realistic” can mean it looks like real life, but calling a plan “realistic” means it fits real limits—same word, two kinds of truth. The term grew out of art movements that rejected idealized heroes and wanted to show ordinary people with ordinary problems.
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