As they ride to Mrs. Spencer’s house, Marilla asks Anne about her family and her past. Anne does not remember her parents, but she knows her parents’ names were Bertha and Walter Shirley, and they were both teachers. Anne was a very young baby when her parents died from a fever. Upon their deaths, Anne was taken in by Mrs. Thomas, who had several children of her own. Anne stayed at the Thomas’s home until Mr. Thomas died. Mrs. Thomas had too many children to take care of, so she gave Anne, who was then eight, to another woman who needed help in raising her own children. What impressed Anne the most about this next household was that the woman had three sets of twins. Anne insists that after those two years she spent at the Hammonds’ house, she was well trained in how to manage children. However, when Mrs. Hammond died, Anne was sent to the orphanage, where she remained until Mrs. Spencer brought her to Avonlea.

When Marilla asks Anne about her education, Anne reveals that she has had very little formal training. However, she was taught to read. It was through her voracious appetite for books that Anne was able to educate herself. Books also developed Anne’s vivid imagination.

Anne’s history softens Marilla. She realizes what a difficult childhood Anne has endured in her eleven years. However, Anne is not in the mood to feel sorry for herself. Instead, she tells Marilla that there is always a way to find enjoyment in life “if you make up your mind” to do it. This is not an easy task all the time, Anne says. One must be very firm about doing it. At present, Anne distracts herself by admiring the scenery as they drive to Mrs. Spencer’s. She wills herself not to think about going back to the orphanage. Instead, she spots a wild rose and comments on how lovely it is. The rose is pink—a color Anne declares is the “most bewitching color in the world.” Unfortunately, Anne declares that even though she loves this color, there is no way she could ever wear pink. Her red hair would clash horribly with it. She asks Marilla if she has ever known anyone who had red hair as a child but who’s hair changed to a more agreeable color when she grew up. Marilla is unwilling to play along with Anne’s imagination, so she tells her she has never known anyone whose hair changed color. Anne replies with a sigh and a remark that this is the end of yet another hope. She adds that her whole life has been not much more than a cemetery for all hope.

As they near Mrs. Spencer’s place, Marilla finds herself arguing in Anne’s favor. Marilla tells herself that Anne is a very interesting young girl with an inquisitive mind that could be trained in good, more disciplined ways. Marilla also senses that underneath all of Anne’s peculiar habits lurks someone with ladylike manners. This leads Marilla to conjecture that Anne must have had good parents, and maybe it would not be such a bad idea to keep her.