How does one make use of dynamic memory as opposed to non-dynamic memory, and what is the difference between the two?

Systems Architecture
7th Edition
ISBN:9781305080195
Author:Stephen D. Burd
Publisher:Stephen D. Burd
Chapter3: Data Representation
Section: Chapter Questions
Problem 11VE: Most Intel CPUs use the __________, in which each memory address is represented by two integers.
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How does one make use of dynamic memory as opposed to non-dynamic memory, and what is the difference between the two?

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