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What is an object, person, situation, or action that has a literal meaning in a story but suggests or represents other meanings called?
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Step 1:
I'll solve this problem by providing a clear, step-by-step explanation.

Step 2:
: Identify the Literary Term

The term being described is a "symbol" or "symbolism". In literature, a symbol is an object, character, action, or situation that literally represents itself but simultaneously suggests a deeper, more abstract meaning beyond its surface-level interpretation.

Step 3:
: Define the Characteristics of a Symbol

A symbol typically: - Has a concrete, literal meaning in the story - Represents broader ideas, themes, or emotions - Adds layers of meaning to the narrative - Can be recurring or appear at significant moments - Helps convey complex concepts through tangible representations

Step 4:
: Provide an Example

For instance, in F. Scott Fitzgerald's "The Great Gatsby", the green light at the end of Daisy's dock is literally a light, but symbolically represents Gatsby's hopes, dreams, and the unattainable American Dream.

Final Answer

The literary term for an object, person, situation, or action that has a literal meaning but suggests or represents other meanings is a "symbol" or "symbolism".