I agree that the Dwarves don't come off well in the Silmarillion. But I think that's to be expected--the story is really mostly about Elves (and a few Men, but mostly Elves). How could the Dwarves look any way but unsavory in a story about their ancient rivals?
It would be fascinating if we could see how the Elves come off in a Dwarf-centered account of the events of the First Age.
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