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I'm not sure that this is the correct approach; I'm just trying to brainstorm a way of getting your grandmother to talk about the fears and emotions (and hope) that have her thinking that things can radically change.
Sending good thoughts.
There’s a chance that she’s never got into much detail, doesn’t feel that she’s been taken seriously etc. Listening to it all, giving her follow-up jobs, facilities to visit, things to look up on the net, might really help her. You’ve probably done it all, but she probably hasn’t done it all herself – or she has not taken in all the detail. It will probably be difficult for you to listen without explaining, but it might help her.
If not, there’s always mashed potato! Sometimes I think that ‘magic’ ideas (if they aren’t an rip-off) are useful for people to pin their faith to.
What are their respective ages, by the way?
Parts of his brain are simply dead and gone, and no amount of therapy is going to return them to functioning.
The therapy he's supposed to be getting is to keep from losing more functionality, but it sounds like that's not happening either. It's just a long, slow decline with an inevitable end.
If he's on medications there may very well be side effects that interfere with his physical and cognitive abilities. There's a reason those medications are by prescription. They all have side effects. I have had close relatives whom we thought were ready for the nursing home and it turned out to be effects of medication. I have spoken to more than one doctor who said they have seen patients get better when they were put on hospice because they were taken off their meds!
Perhaps you and your grandmother could do some research together. Ultimately his condition may not improve but maybe your relationship with your grandmother will. At least you will have comfort in knowing you did everything you can, which may be what your grandmother is struggling with right now. Best of luck to you.