A legitimate psychology app should not be tracking people's location all the time, let alone fine location. (Refer to Permissions in Google Play entry).
Users don't need to select this permission if they don't want to.
Hope this helps.
Companies like ginger.io have been doing this with success for many years.
Some scientific papers on the matter: - https://www.ncbi.nlm.nih.gov/pmc/articles/PMC5571235/ - https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4526997/