We see this as almost a special category of white lie because the fact children are unformed, inexperienced, and immature, they cannot be expected to handle many harsh realities that life brings, and so need to be sheltered in their tender years from learning about more than they can handle in terms of potential negativity and ugliness they will have to reckon with eventually. There are many instances where adult feelings, motivations, and interactions cannot be conveyed with complete understanding to a child, and rather than overwhelm them with complexity and compound a problem, it is a lesser evil to tell them a white lie to keep them complacent and deflect their probing questions about what is happening.
So, in a sense, one must think about truth as not a black or white representation but much more nuanced, depending on the ability of some individuals to even understand truth in the way you might, and this applies to many kinds of situations among individuals of all ages. It is not appropriate in the presence of someone dealing with their grief over the death of a loved one to blurt out how horrible they were, in some respect, to you personally. Even though that might be an objective truth, it could be quite hurtful to someone more close to that individual, and it would not contribute anything to add more unpleasantness to someone grieving over the loss of a loved one. So to offer a white lie, in only saying something positive about the departed, is a gesture of loving kindness to offer some comfort and soothing, that at least you recognize this was a person who passed and who has loved ones even though you might not love them greatly.
So there is an art to living in truth. There are many who lie to themselves as well as others, and there can be a fine line between denial and a white lie. The nuances involved here become less daunting and complex the more one lives in divine alignment through love as an operating energy and general principle underlying all their life choices. When everything you do becomes an expression of love in some way, this will make you artful in knowing the right thing to say, at the right time, and for the right reason. So, as with all of life, the devil might be in the details but it is the sum total that charts your course and is the record of your character. Becoming a better person overall will make up for many transgressions and avoid many taking place.
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