What does the term "allusion" refer to in literature?

The term "allusion" in literature refers to an indirect reference to a recognized person, event, or piece of literature. This means that when an author makes an allusion, they typically expect the reader to understand the reference based on their existing knowledge or cultural context. This technique enriches the text by allowing deeper connections and enhancing meaning without providing a detailed explanation. For example, mentioning "a real-life David and Goliath situation" suggests a struggle between a smaller, weaker party and a larger, stronger one, invoking the biblical story even if the story itself isn't fully recounted.

The other options do not correctly define an allusion. A direct quote represents a verbatim citation from another work, while an openly explained reference provides explicit context, contrasting with the subtlety of an allusion. Lastly, the internal dialogue of a character pertains to their thoughts rather than any outside references or connections to other texts or events.