An understanding of the anatomical position is important because the terms used to describe the locations of different parts of the body are all based on the anatomical position. If one does not understand the anatomical position, terms like medial, lateral, anterior, and posterior become much less useful.
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The anatomical position is simply standing with the feet slightly apart and the arms at the sides with palms facing forward. It is important that anatomists and physiologists have a common reference point to use when describing the location of the different parts of the body, and the anatomical position provides that common reference point.