It is a common thing for children to lie.
They lie for a variety of reasons–to avoid
getting into trouble, to keep their parents
or teachers happy or to cover up purported
inadequacies or embarrassment. They might
lie because they cannot recognise the difference
between reality and fantasy. They do not know
that lying is wrong.When you hear the child
is lying, do not over react, just point out that
it is wrong and that it is important to tell the
truth. Children may lie because they hear their
parents or other adults lie. They may also lie
to avoid punishment. It is a delicate and
complicated issue but it is important
for parents and teachers to firmly deal
with lying children.
Source–E. Felicty Gibson.