What is a decoupling capacitor (or smoothing capacitor as referred to in the link below)?

How do I know if I need one and if so, what size and where it needs to go?

This question mentions many chips needing one between VCC and GND; how do I know if a specific chip is one?

Would an SN74195N 4-bit parallel access shift register used with an Arduino need one? (To use my current project as an example) Why or why not?

I feel like I'm starting to understand the basics of resistors and some places they're used, what values should be used in said places, etc, and I'd like to understand capacitors at the basic level as well.

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