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This chapter takes up the issue of the role of grammar in processing, arguing against Townsend and Bever's LAST hypothesis-testing model (Late Assigment of Syntax Theory). The author reviews the reasons that led to the assumption that mental grammar is not recruited during processing. He argues that the arguments against the Derivational Theory of Complexity (DTC) oversimplified the issue and led to the erroneous conclusion that grammar plays no significant role in language processing. Heuristics in processing, he argues, are less pervasive than generally assumed and often result from the interplay of grammatical constraints in a noisy cognitive architecture. In the alternative view presented here, that grammar is directly involved in language processing, both in perception and production, there is no division of labor between grammar (knowing that) and processing (knowing how) in language, and processing is essentially a process of incrementally constructing a linguistic representation determined by grammatical constraints.
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