I agree partially with Selmo. The in Middle-Earth were there becuase of their mistakes. A lot of the whole issue with the One ring and all the other rings was becuase of the elven smiths. The Sylvan elves were there becuase when all the other elves went to the Undying lands, their king got lost. The other elves were there becuase one of them went crazy and led his people on a mad chase back to Middle-earth over some gems. So they don't have a great track record. They've also had bad relations with Men in the past, and Dwarves for that matter. So they are ditrustful. If mistakes are the best way to learn, then it's no wonder they're the wisest of all.
