Moral development involves children learning how to tell the difference between right and wrong;

to use this knowledge to arrive at appropriate decisions when faced with complicated choices; and
to have the strength and independence to act in accordance with that right decision (to "do the right
thing") despite the fact that it may not be a convenient thing to do.
According to Jean Piaget's original formulation, children between the ages of 5 and 10 years see the
world through the lens of a "heteronomous" morality. In this moral understanding, rules handed
down by authority figures (such as parents, teachers and government leaders) are seen as absolute
and unbreakable. Basically, children accept that authority figures have godlike powers, and are able
to make rules that last forever, do not change, and must be followed. As breaking the rules tends to
lead to negative personal consequences, most children follow the rules as a way to avoid being
punished. Much like Piaget, Developmental psychologist Lawrence Kohlberg believed that young
children behave morally because they fear authority and try to avoid punishment. In other words,
little kids follow the rules because they don't want to get in trouble. It's too much to expect
preschool-aged children to automatically "do the right thing". However, most young children can
understand the difference between "good" and "bad" behavior, and this understanding provides the
basis for more complicated moral thinking in the future.
Children's appreciation of morality changes towards the end of middle childhood as a result of their
recently developed ability to view situations from other people's perspectives. As children develop
the ability to put themselves into someone else's shoes, their appreciation of morality becomes more
autonomous (self-directed) and less black and white and absolutist in nature. Piaget called this
expanded appreciation a "morality of cooperation". Starting at about age 10 or 11 and continuing
through adolescence, children will have generally begun to view moral rules as socially-agreed
upon guidelines designed to benefit the group. Children using this frame of reference still feel that it
is important to follow rules, but these rules are viewed as complex, somewhat negotiable guidelines
that are meant to improve everyone's lives. Children realize that making choices about following the
rules should be based on something more than fear of negative personal consequences or desire for
individual gain. Decisions affect everyone; and can benefit and/or hurt everyone.
While most facets of child development have both internal factors (temperament, genetics, and
characteristics) and external factors (environment and social influences), morality is largely
developed through external factors. Children's environments exert influence on their moral
development in many different ways. Adult and peer modeling, family and societal values, religious
values and beliefs, and parenting practices can all play a part in shaping morality.

However, more commonly, moral behavior is learned through direct observation and imitation.
Children carefully watch the behavior of their caretakers, other adults, and older children. If they
see Uncle Dan being helpful to strangers, they'll be more likely to be helpful to others as well.

Parenting practices and daily discipline have a huge effect on a child's developing sense of morality.
Children who receive fair consequences every time they break a rule will learn to connect their
choices with consequences. For example, if Daisy gets in trouble only periodically for taking
change out of Mommy's coin jar, Daisy may learn that stealing is sometimes okay. However, if
Daisy learns that she will get fair consequences every time she takes money from Mom's coin jar,
she will understand that stealing is never okay. Furthermore, she will learn a lesson (hopefully) that
she will carry forward as she matures into a responsible and moral young woman.