ence,"
said the chairman. "We had just called a committee meeting to decide
what is to be done about this matter of the tunnel."

"Now you know it is all nonsense about the dragon," said Karl
persuasively, as if he were talking to children. "You have heard of
trains, haven't you? You are not so behind the times as all that!"

"_Some_ of us have seen the dragon and even ridden in him," said Mr
Chairman. "There is a famous story about that; but the majority still
look upon the railway with suspicion and even distrust. We only ask to
be let alone, and not be interfered with by meddling mortals," he said
in a gruff voice. "What do we need with you? Our civilization and our
history are more ancient even than that of India or Egypt, and from us
the human race is descended."

"I tell you what," said Karl, "I could put you up to a thing or two for
all that. We live in Modern Europe, you know, and not in ancient Egypt.
Now, for instance, why is this beautiful hall, a perfect work of art in
its way, so badly illuminated!"

"Badly illuminated! Why, what do you mean?" cried the little men
indignantly. "Do you not see our glow-worms hanging in festoons on the
walls?"

"O, I say, _glow-worms_! in the twentieth century, that's rather strong,
you know! what you want, is electric light."

"What's that?" said the dwarfs curiously.

"You have only to press a little button on the wall, like this," he
pressed his thumb on the wall--"and the whole place is lit up almost as
if it were day."

"We don't believe it--we don't believe it," said the little men.

"But it's true, I assure you, _Christmas Tree_," said Karl.

"Wouldn't it make our eyes blink?" said one thin little fellow.

Karl noticed that the dwarfs' eyes were small and their faces pale. Most
of them had quite white beards and hair.

"That comes of living so long underground, it is a loss of pigment,"
thought Karl. "Like a geranium that has been kept in the cellar! Now I
could fix it up for you," said the young engineer, always keenly on the
look-out for a job. "We are going to have it laid on in the tunnel."

"How much would it cost?" inquired the dwarfs.

"O, a thousand pounds or so!" said Karl carelessly. He had heard that
dwarfs were very rich, and he was a good man of business, and had his
eyes open to his interests.

"That's a great deal of money, a great deal of money!" said the little
men in chorus.

"O, as for that I am sure we could come to an agreement,