<xs:complexType name="Thing">
<xs:complexContent>
<xs:extension base="ax:Object">
<xs:sequence>
<xs:element maxOccurs="unbounded" minOccurs="0" name="Thing" nillable="true" type="ax:Item"/>
<xs:element minOccurs="0" name="number" nillable="true" type="xs:double"/>
</xs:extension>
</xs:complexContent>
</xs:complexType>

This is the XSD structure

I think is possible
but they have the same type of content
and the child have also a child name Thing

Well in out tool it is creating problem when the name of child and parent is similar.
As u can see the child type is :ax:Item
it sis of nature complex and for that the structure is :
<xs:complexType name="Item">
<xs:complexContent>
<xs:extension base="ax22:lObject">
<xs:sequence>
<xs:element minOccurs="0" name="code" nillable="true" type="xs:string"/>
<xs:element minOccurs="0" name="description" nillable="true" type="xs:string"/>
<xs:element minOccurs="0" name="id" nillable="true" type="xs:int"/>
</xs:sequence>
</xs:extension>
</xs:complexContent>
</xs:complexType>

name's element and name's type are completely different thing.
If you have a problem, it's not in this piece of code

Could you give your complete xml schema ?

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