Final answer:
The limbic system is involved in facilitating memory and emotion, including the roles of the hippocampus for learning and memory and the amygdala for fear response.
Step-by-step explanation:
The limbic system is involved in emotion, memory, and behaviors related to fear and motivation. It facilitates memory formation and includes essential structures such as the hippocampus, which is crucial for learning and memory, and the amygdala, responsible for the sensation of fear and recognizing fearful faces. The limbic system also consists of the thalamus and the hypothalamus, where the former relays sensory information and the latter regulates various homeostatic processes, including body temperature, appetite, and blood pressure, and interfaces with the endocrine system.
Therefore, in the context of the provided multiple choice question, the limbic system is involved in "memory and emotion." It is not primarily responsible for balance, control of movement, relaying sensory information, or regulating the body's internal state, which are functions associated with other brain structures.