Final answer:
The self-reference effect is a phenomenon where individuals remember information better when it is personally relevant to them, often through the process of semantic encoding.
Step-by-step explanation:
If you better remember the words "happy" and "cheerful" from a list of words because they are characteristics you embody, you are likely experiencing the self-reference effect. The self-reference effect refers to the tendency for an individual to have better memory for information that relates to oneself in comparison to material that has less personal relevance.
When we make material we are trying to memorize personally meaningful, we are essentially applying semantic encoding which involves a deeper level of processing, allowing for improved retention and recall. According to Rogers, Kuiper, and Kirker’s research in 1977, this personalized approach to learning and memory taps into our semantic memory, a type of declarative memory about words, concepts, and language-based knowledge and facts.