Memory involves three main stages: encoding, storage, and retrieval. Encoding involves receiving and processing information, storage creates a permanent record of encoded information, and retrieval recalls stored information in response to cues. There are two main types of long-term memory: explicit memory which involves consciously recalling facts and experiences, and implicit memory which unconsciously influences behavior through procedural and non-declarative memories. Memory is stored throughout the brain in overlapping neural networks rather than isolated files.