I think that the elders deciding to create the village was a mistake because instead of avoiding the histerics of death and tragidy they basically created it themselves. Most people cant grow and learn unless theres some sort of failure or fear..without either of these things people become too sheltered and when they have to face the real world they end up hurt and scared.
For example when lucias wanted to go into the forrest to the towns and the elders wouldnt allow him he started to wonder and almost found his mothers suit that represented the "creatures."
Also when Noah came to lucias and stabbed him due to the jealousy he had with lucias and ivy created even more controversy and led to Mr. Walker coming clean to Ivy the scheme that they had created to keep people safe and in the village.
