With the purpose of developing caring and capable children, this book offers teachers and counselors a collection of over 75 activities as teaching and guidance tools. Characteristics of caring and capable children, which reflect the development of empathy, compassion, assertiveness, and self-discipline, are described. The activities are grouped into the following eight developmental units: (1) kindness; (2) tolerance; (3) respect; (4) service to others; (5) responsibility; (6) self-control; (7) peer pressure; and (8) ethical decision making. The first component of each unit is a short story that embodies the unit theme, followed by questions to facilitate an exchange of reactions to the story. Also following each story is a sheet for students to record their personal responses to the story and similar situations that they may have experienced. The subsequent four or five activities in each unit are designed as small-group discussions, called "sharing circles." Their purpose and the process of their implementation are described in the introductory chapter. In addition, four to six class activities are included in each unit. The final component of each unit consists of song lyrics that relate to the theme of the unit, and reinforce the lessons learned from the unit. Adaptations to activities are suggested for younger students, and may also be made to suit different ability levels, cultural backgrounds, and interests of students. (BAC)