I work with kids in a behavioral health hospital. First of all, I want to say props for doing what you can to raise emotionally intelligent kids. Your daughter's responses to her brother sound very mature and thoughtful, and it seems like you're really trying to guide them to identify emotions and understand that feelings are normal, even bad ones.

Kids can certainly be dramatic about things and respond to situations disproportionately. That's pretty normal, but your son's responses do seem more dramatic than is typical for a seven year old. That, and the negative self talk, suggest that he could probably benefit from some therapy and possibly other treatment.

The good news is that even if he does turn out to have a disorder, the emotionally intelligent, stable home environment you've given him and early therapy intervention gives him an excellent prognosis. Early intervention and a stable home are some of the best assets for a kid with mental health issues. You're doing a good job