Here you go, James (Human Anatomy and Physiology, Marieb, 1998):

The reticular formation extends through the central core of the medulla 
oblongata, pons, and midbrain.  It is an intricate system composed of loosely 
clustered neurons in what is otherwise white matter.....The outstanding 
feature of the reticular neurons is their far-flung axonal connections.  
Individual reticular neurons project to the hypothalamus, thalamus, 
cerebellum and spinal cord.  Such widespread connections make reticular 
neurons ideal for governing the arousal of the brain as a whole.  For 
example, certain reticular neurons, unless inhibited by other brain areas, 
send a continuous stream of impulses (via thalamic relays) to the cerebral 
cortex, which maintains the cortex in an alert, conscious state and enhances 
its excitability.  This particular arm of the reticular formation is know as 
the reticular activating system (RAS).  Impulses from all the great ascending 
sensory tracts synapse with RAS neurons, keeping them active and enhancing 
their arousing effect on the cerebrum.  Repetitive, familiar, or weak signals 
are damped (filtered out), but unusual, significant, or strong impulses do 
reach our consciousness.  For example, you are probably unaware of the 
slipping of your watch on your wrist, but if the clasp broke, it would 
immediately gain your attention.  Between them, the RAS and the cerebral 
cortex disregard perhaps 99% of all sensory stimuli as unimportant.  If this 
did not occur, the sensory overload would drive us crazy.  The drug LSD 
removes these sensory dampers, promoting a similar type of sensory 
overload.....The activity of the RAS is inhibited by sleep centers located in 
the hypothalamus and other neural regions, and is depressed by alcohol, 
sleep-inducing drugs, and tranquilizers.  Severe injury to this system, as 
might follow a knockout punch that twists the brain stem, results in 
permanent unconsciousness (irreversible coma).


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