_evening_. The _carriage_ of _nut-shells_; the _Duck_ they met; the
_dirty road_ they traveled in the _pitch dark_; the _Inn_ they arrived
at; the _night_ at the Inn; the early _dawn_; the _hearth_ where they
threw the egg-shells; the Landlord's _chair_ whose _cushion_ received
the Needle; the _towel_ which received the Pin; the _heath_ over which
they hurried away; the _yard_ of the Inn where the Duck slept and the
_stream_ he escaped by; the Landlord's _room_ where he gained
experience with his towel; the _kitchen_ where the egg-shells from the
_hearth_ flew into his face; and the _arm-chair_ which received him
with a Needle--these are all elements of setting which contribute
largely to the humor and the beauty of the tale.

A blending of the three elements, characters, plot, and setting,
appears in the following outline of _The Elves and the Shoemaker_:--

_The Elves and the Shoemaker_

1. _Introduction_. A poor Shoemaker. A poor room containing
a bed and a shoemaker's board. Leather for one pair of
shoes.

2. _Development_.

First night ... Cut out shoes. Went to bed. Shoes ready
next morning. Sold them. Bought leather for two pairs.

Second night ... Cut out shoes. Went to bed. Shoes
ready next morning. Sold them. Bought leather for four
pairs.