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Nick lives in a small cottage in Little island right on the water that is right in between two giant mansions. It is noisy nearby due to the excessive partying nearby. The house is considered "overlooked" in the book.

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In Chapter 2, Nick spends time with Tom Buchanan out in the city and they end up having a wild party in Tom's secret apartment. He meets Tom's mistress, Myrtle Wilson, and witness Tom's physical abuse towards her. This is the first time that Nick questions the nature of wealth and if it's just all about partying, getting wasted, and inappropriate behavior. Nick tries to distance himself from it at first because he's not like this, but finds himself apart of the fun...
In Chapter 4 he goes on a ride with Mr. Gatsby into town. He learns supposedly of his upbringing and how he obtained such great wealth but Nick senses that something isn't right about them because of his keen instincts. This is when he truly begins his friendship with Gatsby and learns about the extravagant lifestyle of 1920's New York.

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1. "Yet high over the city our line of yellow windows must have contributed their share of human secrecy to the casual watcher in the darkening streets, and I was him too, looking up and wondering. I was within and without, simultaneously enchanted and repelled by the inexhaustible variety of life"(40).
Even though Nick wants to fit in with the rich crowd, he knows that he is not one of them.
2. "Some time before he introduced himself I’d got a strong impression that he was picking his words with care"(53).
Nick notices that Gatsby has something to hide.

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Nick is a young man that had graduated from Yale University and decided to travel to New York to learn and take up bonding. When he moves to West Egg, Long Island, he finds out that his second cousin, Daisy Buchanan, lives nearby. He has aspirations of wealth and fortune and strives to be someone like his next door neighbor, Mr. Gatsby. He is the narrator and writer of this book and tends to expatiate events with his words