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Answer: In The Hobbit by J.R.R. Tolkien, Bilbo Baggins finds himself in the lair of Smaug, a fearsome dragon. Smaug's lair was once the kingdom of the dwarves, for whom Bilbo is working. Being a modest hobbit, Bilbo isn't long entranced by the mound of gold, jewels, and treasures—known as the hoard—upon which the dragon rests; however, the dwarves behavior changes greatly. The fury of their lost riches and the ruin of their palace has caused them to be overcome with anger. Thorin Oakenshield is one of the dwarves who is most influenced by the setting, overcome with greed, especially for the Arkenstone. He becomes power hungry, tunnel vision causes him to be abrasive to the others—he puts the treasures' value above that of the lives of his fellow dwarves. Some of these dwarves cower at the dragon, feeling it's best to leave it alone. They need a leader, and are torn between Bilbo and Thorin. When the situation arises where they start to take sides, Bilbo realizes that his judgement is good. It becomes apparent that even though Thorin is in authority, he cannot be trusted when his kingdom is concerned. The selfishness of Thorin in contrast to the wisdom of Bilbo shows arominent theme in the story, which is that sometimes then greatest warriors are silent, even invisible (like Bilbo when he wears his ring). Heroes aren't always fearsome and powerful, they can be clever, quiet leaders. Thorin's selfishness infuriates the dragons and causes death and destruction in the nearby village, but Bilbo's decision to keep the Arkenstone from Thorin and use it to bargain with the villagers saves many lives. The concept of humility being rewarded is huge at the conclusion of the story. Even the sight of the treasure had the magnitude to show one's true character, where Thorin's fear of losing his dignity, his kingdom, is more important than Bilbo's life. This setting serves to display the themes that courage comes in all shapes and sizes, and material possessions are a true test of one's character.
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