Explain the concept of amortized analysis in the context of dynamic arrays and how it affects the perceived time complexity of operations like insertion.

Amortized analysis averages the time complexity of operations over a sequence of operations. For dynamic arrays, while individual insertions may take O(n) when resizing occurs, most insertions are O(1). Therefore, the amortized time complexity for insertions is O(1), making dynamic arrays efficient for average-case insertion operations despite occasional costly resizing.