How are abstract concepts encoded, stored and recalled in a network of nodes and connections?

 

How are abstract concepts encoded, stored and recalled in a network of nodes and connections?

In a simple set of n nodes, each having 2 states (on and off), the whole set can have 2^n states. The states of the whole set can represent 2^n concepts. This is much larger than the scheme of each node representing a concept, which can represent n concepts.


Without external intervention, how to recall a state of the whole set, or transition from one state to another state? Will need to have connections between the nodes, which allow nodes to be activated or deactivated by other nodes.

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