Piaget's theory of cognitive development proposes that children progress through four distinct stages as their minds develop: sensorimotor (birth to age 2), preoperational (ages 2 to 7), concrete operational (ages 7 to 11), and formal operational (ages 11 to 15). At each stage, children demonstrate new cognitive abilities as their thinking becomes more complex and abstract. Piaget believed that children's interactions with the environment help them build cognitive structures at each stage that prepare them for the next level of development. His theory emphasizes that children are active learners who construct their own understanding of the world.