The setting of the story—the White's home—serves as a unifying device for the story. The fact that the Whites have secluded themselves in a remote house, difficult to reach, contrasts with the Sergeant Major's tales of India that enthrall Mr White. The dim room, lit by firelight, in which Mr White hears about the Paw, creates an atmosphere of mystery that matches the mysterious object of which they speak.

The bright winter morning that follows, in which the Whites learn of their son's tragic death, reflects the stark reality of the Paw's power. If they had thought the Paw a fraud before, it is clear once they receive word of their son's death and 200 pounds in compensation—in answer to Mr White's wish—that the Paw's magic is real. The harsh light of day suggests that the Whites will have to reckon with the Paw one way or another.

Finally, the scene in the darkened house where Mr White wishes his son back to life suggests all the horror of confronting a reanimated corpse.