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In psycholinguistics, semantic processing is the stage of language processing that occurs after one hears a word and encodes its meaning: the mind relates the word to other words with similar meanings. Once a word is perceived, it is placed in a context mentally that allows for a deeper processing. Therefore, semantic processing produces memory traces that last longer than those produced by shallow processing, since shallow processing produces fragile memory traces that decay rapidly.
Proper semantic cognition requires 1) knowledge about the item/word and its features or associations, 2) retrieving the proper information that fits one's current goals and situation. For example, if one saw a sign while driving that said “fork in the road ahead” they should be able to inhibit a strong association (e.g., silverware), and retrieve a distant association that is more relevant meaning (e.g., road structures).
Semantic processing is the deepest level of processing and it requires the listener to think about the meaning of the cue. Studies on brain imaging have shown that, when semantic processing occurs, there is increased brain activity in the left prefrontal regions of the brain that does not occur during different kinds of processing. One study used MRI to measure the brain activity of subjects while they made semantic decisions. The participants then took a memory test after a short period of time. When the subjects showed high confidence and correctly retained the information, the fMRI measured increased activity in the left prefrontal regions.