Crow Boy by Taro Yashima and A Hundred Dresses by Eleanor Estes are modern classics. Told from the point of view of a child who witnessed the mistreatment of another, these are stories of remorse.
Take heed and take heart, those of you who are makers of books for the young. Your stories matter, these works of first Art you create for children through text and through pictures. Write and draw truth and joy and friendship and power and overcoming and the exquisite natural world and human experience.