Emotions are an important aspect of human intelligence and have been shown
to play a significant role in the human decision-making process. Researcher
s in areas such as cognitive science, philosophy, and artificial intelligen
ce have proposed a variety of models of emotions. Most of the previous mode
ls focus on an agent's reactive behavior, for which they often generate emo
tions according to static rules or pre-determined domain knowledge. However
, throughout the history of research on emotions, memory and experience hav
e been emphasized to have a major influence on the emotional process. In th
is paper, we propose a new computational model of emotions that can be inco
rporated into intelligent agents and other complex, interactive programs. T
he model uses a fuzzy-logic representation to map events and observations t
o emotional states. The model also includes several inductive learning algo
rithms for learning patterns of events, associations among objects, and exp
ectations. We demonstrate empirically through a computer simulation of a pe
t that the adaptive components of the model are crucial to users' assessmen
ts of the believability of the agent's interactions.