Do you think Rites and Rituals are performed more for their psychological value than anything else?

I think it depends on the beliefs of the religion itself..If a particular belief system does not support the idea of life after death, then it is probably just for the consolation of those left behind. If the belief system does support a life after death theory than it could be for both the deceased and those in mourning. As far as other rites are concerned I suppose that would on the motives of each individual involved.(e.g. one performing a ritual to feel more spiritually connected to god/ the universe, and another performing it just to feel that they belong somewhere in this world.) I feel in such cases there could also be an emotional aspect to it as well...Filling a void that has been left in ones life.