OperationalError in the psycopg library, often encountered during database connection attempts in Python, typically arises from incorrect parameters such as hostnames and passwords when using the connect method. For instance, entering a wrong hostname like "foreignhost" instead of "localhost" or an incorrect password results in specific error messages indicating the source of the problem. These errors can be resolved by checking the console output for the exact credential causing the issue and correcting it, often in consultation with a database administrator if credential changes are involved. If the correct credentials still produce errors, it could indicate a larger server issue requiring administrative troubleshooting. Tools like Rollbar can facilitate error management by providing real-time tracking and analysis to help developers confidently deploy production code.