Final answer:
Freud identified that during the phallic stage of psychosexual development, children develop inhibitions such as loathing, shame, and moral demands, particularly through the dynamics of the Oedipus complex in boys. These inhibitions are part of the child's development of their superego, incorporating societal and parental norms into their personality.
Step-by-step explanation:
The inhibitions on sexual life that Freud says develop during a child's toddler years, more specifically in the phallic stage of psychosexual development, include loathing, shame, and moral demands (option C). During this stage, Freud posited that children become aware of their bodies and the differences between males and females, experiencing conflict through desires for the opposite-sex parent and jealousy towards the same-sex parent. This intra-psychic conflict leads to the development of a child's superego, which encompasses their internalized moral standards, often developing feelings of loathing, shame, and moral demands as they navigate these complex emotions and societal expectations.
For boys, this stage is characterized by the Oedipus complex, where boys experience desire for their mother and rivalry with their father, accompanied by fear of punishment (castration anxiety) from the father. The Oedipus complex is resolved when the boy identifies with the father, internalizing parental values and societal norms. This developmental process is essential for the formation of the conscience and is central to Freud's understanding of the development of social and moral inhibitions in children.