In which kind of linked list does each node have a reference to both the next node and the previous node?

A doubly linked list is characterized by each node containing a reference to both the next node and the previous node in the sequence. This design allows for traversal of the list in both directions—forward and backward—making operations like insertion, deletion, and searching more versatile compared to a singly linked list, which only provides a reference to the next node.

In the context of linked lists: in a singly linked list, each node has only a single reference pointing to the next node, limiting traversal to a single direction (forward). A circular linked list can be either singly or doubly structured; however, the defining moment of the circular list is that the last node points back to the first node, and this does not inherently provide access to a previous node. A stack is a data structure that operates on a last-in, first-out (LIFO) basis and does not specifically describe a linked list format whatsoever.

Thus, the correct choice confirms the structure of a doubly linked list, which is essential for scenarios that require flexible data management.