Eric Berne founded Transactional Analysis on the basis that the theories he put forward were observable, and therefore verifiable. in the real world or in the client.
A good therapist seeks to provide a relationship which their client can use to grow and understand more about themselves. That relationship develops through a therapist enquiring about and observing their client in order to build and, very importantly, to check the therapist’s understanding of how things are both for and in their client.
Freud’s quote above seems confrontational now, even angry. Therapy now is about developing a non judgemental understanding and through that shared understanding opportunities for growth and change.