Honesty means showing true thoughts and feelings through words and actions. Examples of honesty include admitting mistakes, not cheating, and only taking one's fair share. The document discusses how honesty involves reflecting inner thoughts outwardly and acting with integrity, using examples like owning up to errors, following rules instead of cheating, and not taking more than one's portion. It also prompts considering honest responses in situations like safeguarding a brother's savings or alerting a mother about mismatched shoes before going out.