Final answer:
The term that is used to communicate to the controller that the pilot has identified the traffic and understands the restrictions is 'confirmation'. This is crucial in air traffic control communications for ensuring safety and compliance with airspace management procedures.
Step-by-step explanation:
The term used to inform the controller issuing the traffic restrictions that the traffic is identified and that the restrictions issued are understood and will be complied with is b) Confirmation. When a pilot provides confirmation to air traffic control (ATC), it indicates that they have successfully identified the traffic in question and they are aware of and agree to follow the instructions provided by ATC.
This process is part of air traffic communication procedures and is important for maintaining safety and efficiency in airspace management. The pilot's confirmation ensures that there is a mutual understanding between the pilot and the controller regarding the operational plan, preventing misunderstandings and potential conflicts in the airspace.