The present study investigated hemispheric asymmetries in the perception of positive and negative emotion. The moderating effect of depression on hemispheric asymmetries was also examined. Forty undergraduates were presented with happy and sad faces using a bilateral visual half-field design. Subjects were classified as depressed or nondepressed based on scores on the Beck Depression Inventory. For nondepressed subjects, a right hemisphere advantage emerged for the speed of processing open and close-mouth sad expressions. For depressed subjects a right hemisphere advantage emerged for the speed of processing open-mouth sad expressions. In addition, a right hemisphere advantage for accuracy in identifying sad expressions was found for all subjects. No visual field differences were found for processing happy expressions. (C) 1996 Academic Press, Inc.