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Two experiments with 3 1/2- to 6 1/2-year-old children showed that theory-of-mind development is associated with the growth of episodic memory. Episodic memory was assessed by manipulating informational conditions such that they permit or prevent the formation of episodic memories in terms of re-experiencing the recalled event. Only experienced events, e.g. seeing how one puts a picture of a frog into a box, can be remembered by re-experience. Events known through indirect information cannot be re-experienced, e.g. putting pictures into the box when blindfolded and being later shown on video what was on these cards. Children were also tested on a battery of theory-of-mind tasks assessing their understanding of the origins of knowledge. There was a significant interaction in both experiments showing that recall of directly experienced items improved in relation to indirectly presented items the higher children's theory-of-mind scores. The discussion suggests that episodic memory development is specifically linked to the growing ability to introspect an ongoing experience and interpret it as representing an actual past event. (Contains 1 table and 2 figures.)