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"A dwarf (plural dwarfs or, more recently, dwarves --see under Tolkien below) is a short humanoid creature in Norse mythology, fairy tales, fantasy fiction and role-playing games. Dwarves are much like humans, but generally living underground or in mountainous areas. Here they have heaped up countless treasures of gold, silver, and precious stones, and pass their time in fabricating costly armor. They are famed miners and smiths although, like humans, they specialize in any number of trades. Generally shorter than humans, they are on average stockier and hairier, usually sporting full beards. Dwarfish smiths created some of the greatest and most powerful items of power in Norse mythology, such as the magic ribbon which bound the Fenris wolf." 

"Dwarves are also called little Hill-men (Swiss), Earth-men (Härdmandle, pl. Härdmändlene. - Swiss) and Kröpel (German). Dwarves were described as the height of a 3-year old human child (about 3 feet tall), ugly and big-headed. Nidavellir is the land of the dwarves in Norse mythology." 

"Then the gods set themselves in their high-seats and held counsel. They remembered how the dwarfs had quickened in the mould of the earth like maggots in flesh. The dwarfs had first been created and had quickened in Ymer’s flesh, and were then maggots; but now, by the decision of the gods, they got the understanding and likeness of men, but still had to dwell in the earth and in rocks." 

Masonic and Occult Symbols Illustrated - Dr. Cathy Burns (p75)

"Troll: A hideous, evil earth-demon of Teutonic mythology living in caves. The troll can be a dwarf or a giant who also lives in the hills and under bridges." 

The Continuum Encyclopedia of Symbols - Udo Becker(p89)

"Dwarfs are small, old, often duck-footed, goose-footed or bird-footed, sometimes visible, sometimes not, helpful or teasing mischievous human like creatures of folk belief that can be interpreted as (among other things) symbolic embodiments of useful but ultimately uncontrollable natural forces as well as of experiences and actions of the subconscious that are only vaguely, or not at all, understandable. Aside from various skills that they possessed and the gift, attributed to them, of being able to tell the future, dwarfs, were regarded as excellent smiths who practised their trade under the ground. Many of the attributes were characteristic of individual gods, give evidence of dwarf's skills. They were also thought to be guardians of treasure."