Interesting you made that comparison between Inception and this. However, I think is focusing more on the technical and direct application of the term 'exaggeration' - more like an animation principle. For ex. while animating you push your poses, you define the character by exaggerating it's facial expressions, dynamics and so forth. It's a pretty big topic.
Cheers,
András
RE: #18 Animation - How much is TOO MUCH? (Animation Principle - Exaggeration)