Step 1: Understand the relationship between \( \psi \) and \( \theta \).
As soil moisture increases, the suction head \( \psi \) decreases because less suction is required to pull water into the soil.
Step 2: Analyze the relationship between \( K \) and \( \theta \).
Hydraulic conductivity increases as moisture content increases because wetter soils allow for easier water movement.
Final Answer: (A) \( \psi \) decreases and \( K \) increases.