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And the sugestion is....Nichelodean
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A change of paragraph is a change of Rascal telling the story.

Once upon a time there was a magic nichelodean, no-one knew it was magic, of course, because it looked like every other nichelodean.  What made this one particularly magic was that it was inhabited by an elf.  A very very tiny elf, smaller than all the other elves, which is why he chose to live in a nichelodean.  Because all the bigger elves were constantly making fun of him.

So, cut to this Thursday, were a small kid named Tom is at school, and there’s these two guys that always bully Tom.  Every day he’s either getting beat up, or made fun of, or something nasty is put in his locker – and today is no exception.  He gets into school, and the first thing he sees is a smear of something brown on his locker. So Tom, being the resourceful kid he is, gets some Kleenex and wipes it off – careful not to smell it – he just puts it in the garbage.  He gets his books, he gets to class, and everything is okay.



He gets to class, and tells his teacher about his day.  She’s been expecting this because she’s known that he’s been targeted for a while.  She tells Tom, “have you ever gone down to the old arcade downtown?”  And Tom was like, “no.”  So she said, “You know Tom, I think if you head down there you can find some really interesting things, and maybe some things that will interest you.”  So he thinks about it.  And she says, “You know what, I will excuse you from the rest of the day.  You head downtown to the old arcade.”

What Tom didn’t know was that his teacher was a guardian angel, and that she and the small special magical elf that lived in the nichelodean, were brother and sister.  So Tom went down to the arcade, running as fast as he could because he was being followed by those large bullies as well.  He managed to duck through a small crack in a fence, and was able to get away because the bullies were too large to get through the crack.  When he arrived at the arcade he saw that it was actually a run down building that had been closed for many, many years.  He opened the door with great force and dust flew all about him.

He marvelled at the number of machines that were in front of him.  He found some outlets, and started plugging them in.  There was power!  He started to run his fingers over the controls and the dials, leaving his fingerprints in the dust.  Then he found a very unusual machine in the corner which was, of course, the magic nichelodean.  He didn’t have any quarters to play the games, but he did happen to have a nickel.  It was all that he had left from his milk money from being mugged earlier that morning.  He put that nickel in the nichelodean and it began to play.

It said, “I don’t want to do it!”  And Tom was like, “this is ridiculous!”  So he hit it, really hard, and started to shake it.  All he heard from inside was “No thanks, I’m good.”  Tom had never seen a nichelodean before so he thought, “is this what it does?” So he shook it again.  All of a sudden he heard this paper starting to flip, and he could hear this paper flipping.  So he leaned over and looked inside, and the paper was flipping, and there was a picture of a Christmas tree and a little boy, but then this elf was standing in front of the Christmas tree shaking his head at tom.  And he thought, “Wow…3D…this is amazing!”

The little elf looked fairly cranky, and he looked up at Tom and said, “fine…You found me…I’ve been sleeping in here for years, but finally, someone found me.”  “The deal is this, I’ll grant you three wishes, and whatever you ask for is yours…but there’s a catch.”  Tom thought, “okay…I guess that sounds great, I mean, three wishes, this is fantastic!”  “My first wish is to do something about those bullies.” “My second wish is…fame and fortune.”  “My third wish is for Cindy, at school, to like me.”  The elf went, “okay, I can do this, but I have to tell you about the catch.”

“The catch is…whatever you get…your worst enemy gets double.” Tom wished he had listened to the catch first.  He went back to school and discovered that four new larger bullies had replaced the two large bullies that had been pestering him before.  They were pestering the two other bullies, but that only increased the amount of bullying in the school.  Tom thought it was only a matter of time until they turn there attention to him.  He discovered that he had fame and fortune, but nobody noticed because the two bullies that had been bullying him had twice as much fame and fortune as he did.  So he went largely ignored as much as he was before.  Cindy was Crazy about the two bullies, just crazy because there were two of them and they had twice as much influence over her as Tom did by himself.
So Tom went back to the elf, and stared at him.  The elf stared back.  The elf looked at him and said, “You have to know…my sister and I hate each other!”