To treat a three-year-old named Peter who was fearful of a tame rabbit, Mary Cover Jones gradually conditioned a positive response that was incompatible with Peter's negative response of fear.

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This is a correct statement. Mary Cover Jones used a technique called systematic desensitization to condition a positive response in Peter that was incompatible with his negative response of fear. She first introduced a rabbit from a distance, and as Peter became more comfortable, gradually moved it closer until he was able to pet the rabbit without fear. This process helped to overcome Peter's phobia of rabbits.

To Treat a Three-Year-Old Named Peter Who Was Fearful of a Tame