“Two nations live in this country — the Icelandic nation and this invisible nation.”
One of my favorite parts starts eight minutes in, when a primary school teacher is explaining to the kids how the elves live in a boulder.
Only one of the numerous people interviewed is obviously New Age-y, with her talk about earth chakras, etc. And there is one guy in sort-of medieval Norse garb, his cap decorated with runes, who is described in the subtitle as a “sorcerer.” (Some people are speaking English, some Icelandic with subtitles.) The rest are pretty much down-to-earth Icelanders, a couple of whom describe their own outlooks as Pagan and/or Heathen.
You have heard stories about roads being routed around “inhabited” spots? Here is a civil engineer who did it.
Also the land itself: mountains, geysers, rocky coasts, cliffs — wonderful as well.
UPDATE: Bad link to complete film now fixed.
(Hat tip to Galina Krasskova.)