Does Time Outs Work?

If you have experienced raising a 2-year old, you will definitely agree with me when I say - they can be quiet t.e.r.r.i.b.l.e. (at times)

Oh yeah they can be really cute and jolly but when they don't get their way all hell breaks loose. On the other hand, I can clearly see that he is very bright. He can be wonderfully sweet and engaging until he doesn't get his way.

Lately, we have been imposing a 5-minute time out on his part when my son misbehaves. His usual misdemeanor is hitting; specifically his yaya. When he is embarrassed he hits his yaya, when he does not get his way he hits his yaya, when someone else scolds him he hits his yaya..well you get my drift...

At first he would willingly oblige and accept his punishment; lately though he has caught on and started crying as loud as his little lungs would allow knowing that at some point we would be forced to soothe him and get him off his 'sentence'. As a parent its hard seeing your son wail and shout - but some things need to be done in order for him to learn.

He has come to a point when he is asserting his independence and he is testing his limits. I am guilty of spoiling him at times; getting him off the hook easy just cause he looks so innocent and all. But are they really all innocent? Or by this time they can already distinguish right from wrong? I personally believe my son understands what is right from wrong already; its just up to the parents to let him know (over and over) and guide him through.

So, mommy's what are your thoughts? Does time-outs work? If not, what is an effective way to discipline a child?