Girls' responses to fantasy in children's literature as related to a conceptual framework (extrapolated from books of modern fantasy) of intellectual development (based on Piaget's theoretical formulations) were investigated. The three stages of thinking corresponded to the ages of the subjects: five year olds represented the preoperational stage, nine year olds the concrete operational stage, and seven year olds a transitional stage. Thirty girls were presented selected tasks based on Piaget's studies and interviewed for their concepts of fantasy and realism, shifts in fantasy and realism, and concepts of causality in fantasy based on the two books read to them. Results indicated (1) there was no significant relationship between the children's responses to fantasy and other areas of intellectual development; (2) most of the responses were on the literal level of interpretation; and (3) five year olds were developing an understanding of concepts of fantasy and realism, were unable to identify shifts in fantasy and realism, and were developing an understanding of concepts of causality in fantasy, while the seven and nine year olds already understood these concepts. (Author/HOD)