Various theories have been put forward for the development of depression. It is important to understand the causes of depression in children so that proper intervention can be provided in proper time and in an appropriate manner.According to the Cognitive Theory of Depression, negative thinking alters the perceptions, interpretations, and memory of the personal world and leads to the development of depressive symptoms. The Parent-Child Model for Socialization theory proposes that intrusive support from the parents to those children who are constantly involved in the negative self-evaluative process causes depression The Tripartite Model of Depression and Anxiety theorizes that depression is characterized by the low positive effect which is called anhedonia.Children can be subjected to many stressors which can culminate in depression. Children are vulnerable to the stress caused by a disturbed relationship between the parents. Conflict and tensions between parents contribute to emotional arousal in the children, thus triggering various psychological and physiological responses (Sokolova, 2003). Depression in parents has a significant influence on the development of depression in children. Single parenting can also contribute to depression. Other stressors that can lead to depression are peer problems, school problems, medical illness, and losses.Trauma is another major factor that plays a role in depression. According to cognitive models of trauma, coping with the experience of trauma and appraisal of the event contribute to post-traumatic adjustment. According to this perspective, exaggerated negative perceptions lead to exaggerated estimates of harm leading to maladaptive coping strategies. Thus trauma will lead to post-traumatic stress disorder due to impediment of the ability of the individual to apply corrective information that the trauma is already gone (Salmon et al, 2007).