The authors outline a theory of conditionals of the form If A then C and If A then possibly C. The 2 sorts of conditional have separate core meanings that refer to sets of possibilities. Knowledge, pragmatics, and semantics can modulate these meanings. Modulation can add information about temporal and other relations between antecedent and consequent. It can also prevent the construction of possibilities to yield 10 distinct sets of possibilities to which conditionals can refer. The mental representation of a conditional normally makes explicit only the possibilities in which its antecedent is true, yielding other possibilities implicitly. Reasoners tend to focus on the explicit possibilities. The theory predicts the major phenomena of understanding and reasoning with conditionals.

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This article describes a new theory of propositional reasoning, that is, deductions depending on if, or, and, and not. The theory proposes that reasoning is a semantic process based on mental models. It assumes that people are able to maintain models of only a limited number of alternative states of affairs, and they accordingly use models representing as much information as possible in an implicit way. They represent a disjunctive proposition, such as "There is a circle or there is a triangle," by imagining initially 2 alternative possibilities: one in which there is a circle and the other in which there is a triangle. This representation can, if necessary, be fleshed out to yield an explicit representation of an exclusive or an inclusive disjunction. The theory elucidates all the robust phenomena of propositional reasoning. It also makes several novel predictions, which were corroborated by the results of 4 experiments.

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