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Thomas Gradgrind, a wealthy, retired merchant in the industrial city of Coketown, England, devotes his life to a philosophy of rationalism, self-interest, and fact. He raises his oldest children, Louisa and Tom, according to this philosophy and never allows them to engage in fanciful or imaginative pursuits. He founds a school and charitably takes in one of the students, the kindly and imaginative Sissy Jupe, after the disappearance of her father, a circus entertainer.