The limbic system is located at the border of the cerebral cortex and diencephalon. It consists of grey matter structures like the hippocampus, amygdala, hypothalamus, and white matter tracts connecting these structures. The limbic system is involved in functions like emotion, learning, memory formation and processing. Key structures include the hippocampus, which is important for memory consolidation, and the amygdala, which is involved in processing fear and other emotions. The reticular formation is located in the brainstem and consists of nuclei that regulate states of consciousness through ascending and descending pathways.