Do dogs "rationalize" the size of other dogs?

i really think that they do, and also that they understand age differences. my adult german shepherd won't put up with a lot of monkey business, but she let my brother's puppy get away with murder bc she seemed to know he was a baby and just acting a fool. many dogs also seem to understand the same thing about human children. when i was a toddler learning to walk, our 100lb irish setter would sometimes accidentally knock me over. when that happened she would stop and wait while i held onto her tail to pull myself up again! my parents were amazed. it happened over and over. aren't dogs amazing?