As we enter the young adult stage of development, our sense of Identity becomes vitally important. It defines what we do, how we do it, and the extent to which we engage in certain types of behaviors.

1) Define 'Identity' and discuss the significance of it during the early stages of adulthood.

2) Further, describe James Marcia's Four Statuses of Identity, and describe how our sense of identity guides the decisions that we make as young adults.