This chapter concerns theory and research relevant to child development and early childhood education and care (ECEC), which is a key ecology for human development. In this chapter, the authors provide an overview of the organizational features and processes important to understanding these settings. The authors then focus on describing the Nordic welfare model as it relates to ECEC settings, with an exploration of how certain ethics are reflected in the design, goals, and practice of ECEC settings in Sweden. The chapter then moves to summarizing and reflecting on the empirical research literature on how Swedish ECEC settings may support aspects of children’s moral development; finally, the authors pose several questions that may prove important to advancing future research in this area.