The traditional approach to dynamic inferencing is to represent knowledge in a symbolic hierarchy, find the most specific information in the hierarchy that relates to the input, and apply the attached inferences. This approach provides for inheritance and parallel retrieval but at the expense of very complex learning and access mechanisms. Parallel Distributed Processing (PDP) systems have recently emerged as an alternative. PDP systems use a very simple processing mechanism, but can only eiccess high-level knowledge sequentially and require an enormous amount of training time. This paper presents Parallel Distributed Semantic (PDS) Networks, an approeich that integrates the best features of symbolic and PDP systems by storing the content of symbolic hierarchies in ensembles of P D P networks, connecting the networks in the manner of a semantic network, and using Propagation Filters to determine how information is passed between networks. Simulation results are presented which indicate that P D S Networks and Propagation Filters are able to perform pattern completion from partial input, generate dynamic inferences, and propagate role bindings.