1) I don't see the differing descriptions of Elves as contradictory.
Perhaps people who live for thousands of years need to retain some "childlike"
qualities. Surely Elves could grow in wisdom over the years, and acheive great
power, while still taking joy and merriment in simple things like silly songs.
Think of Gandalf, who although not an Elf was inarguably wise and powerful and
yet found great pleasure in smoking, drinking, and socializing with Hobbits.
Bombadil, who was also ageless, wise and powerful, seemed to be silly most of
the time. Wisdom, power and merriment all seem to coexist quite compatibly in
Tolkien's world. Of course, we see more of the "childlike" qualities of Elves
in The Hobbit, which is a children's book, and individual Elves would have
different personalities.
2) Well, as Curious points out, Rivendell is a house. Even a huge house, the
size of a hotel, couldn't hold more than a couple of hundred Elves.
3) Well, I was already an adult when I read the books for the first time,
so I caught on that something was up when Bilbo rather slyly asked Aragorn,
"Why weren't you at the feast? The Lady Arwen was there." Of course, I didn't
understand exactly what Arwen's appeal for Aragorn was until I got to the
appendices, when I finally came to appreciate Arwen's quiet courage and
strength. I love the part in this chapter when, after a brief conversation with
Aragorn, she gives Frodo a look "...that seemed to pierce his heart."
4) I'm just not a very visual person, and I have a very hard time forming
pictures of people that look young but ageless and wise. Although I know that
Elves didn't age, I can't help but imagine Arwen as a bit older than Liv Tyler.
I do especially love the description of Glorfindel: "his face fair and young
and fearless and full of joy". My mental image of Elrond goes back to The
Hobbit: "He was as noble and as fair in face as an elf-lord, as strong as a
warrior, as wise as a wizard, as venerable as a king of dwarves, and as kind as
summer." I now imagine him as Hugo Weaving but a bit younger looking (or more
"ageless"), with maybe a bit more of the "kind as summer" quality than we see
in the movie. The movie images have blended in with my own visualizations, and
all the illustrations I have seen over the
years.
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Although now long estranged, Man is not wholly lost nor wholly changed.
Dis-graced he may be, yet is not de-throned,
and keeps the rags of lordship once he owned:
Man, Sub-creator, the refracted Light
through whom is splintered from a single White
to many hues, and endlessly combined
in living shpes that move from mind to mind.
Though all the crannies of the world we filled
with Elves and Goblins, though we dared to build
Gods and their houses out of dark and light,
and sowed the seed of dragons--'twas our right
(used or misused). That right has not decayed:
We make still by the law in which we're made!