Memory psychologists believe memory involves three stages: encoding, storage, and retrieval. Encoding involves transforming information to be stored in memory. Storage holds information in memory until needed. Retrieval locates and retrieves stored information to be used. The document then provides details on each stage, describing encoding as representing information in a form like sounds or images, storage as holding encoded information, and retrieval as locating stored information when needed. It defines memory as the process of coding, storing, and retrieving information.