Piaget's theory of cognitive development proposes that children's thinking progresses through four distinct stages as they interact with their environment. The stages are sensorimotor (birth to age 2), preoperational (age 2 to 7), concrete operational (age 7 to 11), and formal operational (age 11 to adulthood). At each stage, children construct an understanding of the world by experiencing things and reflecting on those experiences. Piaget believed that cognitive development relies on both biological maturation and environmental interaction, with children progressing from concrete thinking to more abstract thought as they develop.