Also I would like guns and shit, no fantasy stasis please.
On this subject:
Elves should not be aware of this.Once, there was an elven empire that dominated the land due to their speed and magic, which helped them overcome their own mediocre physical abilities. This empire began to crumble once other races got metal, and has completely disintegrated now that they have guns and excrement. Some individual elves have caught up with the times, but most (who likely have grandparents from when copper or bronze was the height of technology) refuse to do so, trying to live the old-fashioned way with their stone or wooden tools and their magic.
Oh, and just to clarify:
Elves are quick, agile, and strong with magic, but weak, frail, and stubborn as a statue of a mule.
They once had a powerful empire, but it has since crumbled.Magic advances, too.While the most powerful magics of ancient times are more likely to survive than weaker ones, and would be more powerful than average magics today, the best magic of modern times is better than the best magic of, say, when the elves ruled. For instance, greater efficiencies have been achieved, and techniques for non-sentient blood sacrifices have steadily improved their maximum efficient output. Most notably, a way to get enchantments to stick around for essentially forever fairly simply was discovered a few centuries ago.
Dwarves, typically, are even less magical than humans. However, each dwarf has one chance to create a magical item.This item is related somehow to the dwarf's trade, hobbies, and personality. "Dwarven Artifacts" are surprisingly rare, due to the difficulty in actually making them, but rather powerful. A surprising amount of dwarven infrastructure is based on using them. For instance, the largest dwarven city provides almost half of its food from artifacts.