Final answer:
Short-term memory can retain about 7 bits ±2 of information, with recent research suggesting a capacity closer to 4 ± 1 bits. The exact capacity can vary depending on the type of information and method of encoding, with acoustic typically being more robust than visual.
Step-by-step explanation:
Most people can hold about 7 bits ±2 of information in short-term memory (STM), a concept first described by George Miller in 1956. Miller suggested that the capacity of short-term memory is the "magic number" 7 ± 2, although contemporary research by Cowan in 2010 indicates that the actual number may be closer to 4 ± 1. Short-term memory is crucial for daily functions and acts as temporary storage for processing incoming sensory information or information retrieved for active use. This memory type differs from long-term storage, which is more permanent. The capacity for STM may vary slightly depending on whether the information is acoustic or visual; however, it's generally accepted that this capacity is limited.
Additionally, different types of information encoding, such as acoustic and visual, can have differing levels of recall. The type of memory encoding that occurs is often dependent on the nature of the sensory input, with acoustic encoding typically associated with better recall compared to visual encoding. Moreover, short-term memory and working memory can be considered interconnected, with the former being a component of the latter. Concepts like the visuospatial sketchpad and episodic buffer play roles in how short-term memory is managed according to theories such as Baddeley and Hitch's model of working memory.