After a search that found this,
Quote:
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Originally Posted by UT, in the Tale of G&C
Many Dwarves leaving their old cities in Ered Luin go to Moria and swell its numbers.
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which would support Ered Luin being diminished...and the quote of Gandalf's about Thorin being in exile:
Quote:
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For just as I was nearing Bree I was overtake by Thorin Oakenshield, who lived then in exile beyond the the northwestern borders of the Shire.
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Which leads me to suspect that Thorin was more like one of the government's in exile during the World Wars, who didn't try to establish new kingdoms or countries.
I still have not managed to find the quote you're talking about,
Mith...of course, that's likely because I've never studied the dwarves in the detail I have the elves. That's also why I have no real thoughts on this...
