Investigated was whether children would re-enact what an adult actually did or what the adult intended to do. In Experiment 1 children were shown an adult who tried, but failed, to perform certain target acts. Completed target acts were thus not observed. Children in comparison groups either saw the full target act or appropriate controls. Results showed that children could infer the adult's intended act by watching the failed attempts. Experiment 2 tested children's understanding of an inanimate object that traced the same movements as the person had followed. Children showed a completely different reaction to the mechanical device than to the person: They did not produce the target acts in this case. Eighteen-month-olds situate people within a psychological framework that differentiates between the surface behavior of people and a deeper level involving goals and intentions. They have already adopted a fundamental aspect of folk psychology-persons (but not inanimate objects) are understood within a framework involving goals and intentions.