This study, conducted in Israel, examined the social and emotional difficulties of gifted children, in comparison with nongifted children. The gifted children were further compared in two educational settings: segregated classes and pull-out programs. The 974 participants were from the fifth to twelfth grades. The dependent variables included loneliness, social competence, empathy, and self-concept. The results indicated that gifted children score higher on need fulfillment, empathy, academic self-concept, and lack of emotional anxiety and lower on self-disclosure and physical self-concept. Few differences were found between the two settings for gifted children. The conclusion is that gifted children differ from nongifted children only on some of the social-emotional variables examined, mainly for the better. (Contains 3 tables and 5 figures.)