This paper addresses the problem of human–computer interactions when the computer can interpret and express a kind of human-like behavior, offering natural communication. A conceptual framework for incorporating emotions with rationality is proposed. A model of affective social interactions is described. The model utilizes the SAIBA framework, which distinguishes among several stages of processing of information. The SAIBA framework is extended, and a model is realized in human behavior detection, human behavior interpretation, intention planning, attention tracking behavior planning, and behavior (...) realization components. Two models of incorporating emotions with rationality into a virtual artifact are presented. The first one uses an implicit implementation of emotions. The second one has an explicit realization of a three-layered model of emotions, which is highly interconnected with other components of the system. Details of the model with implicit implementation of emotional behavior are shown as well as evaluation methodology and results. Discussions about the extended model of an agent are given in the final part of the paper. (shrink)