What is the difference between a story and a lie?

We tell stories all the time, whether it is just an account of some happenings in our day, or a grand retelling of a funny story with extra emphasis added for effect. We get to exercise our imagination telling stories. Imaginary friends are a nice example – without the story the friends would not even exist. Stories entertain and convey knowledge

But what makes lies different from stories? The intent of a lie is to manipulate, to influence people by deception to obtain some goal.

Grace has had two interesting stories in the last couple of days. She had some paint on the back of her shirt recently and when we asked about it she said someone had bumped her with a brush. Okay, sounds reasonable. Today she had glue all over the front of her dress and when asked she said, “Someone flung the glue at me.” Hmmm….suspicious.

I was finishing some things up at the end of the day and Grace comes in the door and says, “You need to come and change Eli’s nappy, he’s made a poo.” Okay, I know it’s been a long day for Donné with Eli not sleeping, let’s get done and go and help. I get inside and there is no poo nappy, and Donné tells me that she explicitly told Grace not to tell me that after Grace had told her what she was going to tell me that. Hmmmm….telling a story to get me to come inside a bit sooner.

Stories or lies? And how does one really explain the difference between the two and still encourage story telling?