Themes are the fundamental and often universal ideas explored in a literary work.

The Repetition of History 

Canin shows how history repeats itself through not only the structure of “The Palace Thief,” which is that of Mr. Hundert recounting Sedgewick’s history and his own, but also in the similarities of events within that history. The “Mr. Julius Caesar” contest occurs twice, with the same moderator and contestants. In both events, Sedgewick cheats, Mr. Hundert fails to expose him, and Deepak wins. Sedgewick Bell eventually follows the same path his father took, becoming a senator by convincing the masses he supports them even though his policies do not. Likewise, Mr. Hundert’s prize student Deepak, who is as skilled at rote memorization as Mr. Hundert himself, becomes a quiet and stodgy history teacher. As a young teacher, Mr. Hundert lived in old slave quarters at St. Benedict’s. When he retires, he lives in a property owned by a descendant of Nat Turner, an enslaved man who led a rebellion of enslaved people. Ultimately, Mr. Hundert argues it is this cyclical nature that gives history its power. By studying history and understanding the cycles, Mr. Hundert argues one can avoid making the same mistakes. He claims that in hindsight nothing that happened with Sedgewick should have been a surprise because history was just following its natural cycles. 

The Tenuousness of Character Formation 

Mr. Hundert’s beliefs about the formation of character change over the course of his career from being based in nurturing to being based in nature. As a young teacher, Mr. Hundert believes that character is shaped through emulating history’s great figures, that his own character is inspired by these historic leaders, and that he can have a profound effect on the world by imparting his knowledge to the children of important people. Mr. Hundert argues that by learning about the lofty ideals of the past and adhering to tradition, students will naturally adopt the virtues of history’s most honored figures. 

Mr. Hundert sees students as blank slates waiting to be filled by him, rather than as developing individuals passing through his classroom. Senator Bell challenges this belief when he reminds Mr. Hundert his job is to teach students, not to mold their character. While teachers certainly influence their students, Mr. Hundert's sense of self-importance comes to be his ruin. He fails to recognize that his own thorough knowledge of history doesn’t stop him from being easily manipulated by Senator Bell and his son. Mr. Hundert’s desire to influence history motivates him to act dishonorably when he inflates Sedgewick’s scores, setting off a chain of events that allows more disingenuous people into positions of power. 

The Corrupting Nature of Fear

Mr. Hundert fails to act honorably in many instances out of his fear of failure. His first crime against honor comes from the fear he experiences the first time he meets Senator Bell. Instead of praising Mr. Hundert for being concerned about his son’s character, Senator Bell humiliates the teacher for daring to consider himself as a model for his son. When Mr. Hundert assumes that his intervention is the reason Sedgewick improves in class, he commits the crime of grade inflation to move Sedgewick to the finals of the “Mr. Julius Caesar” contest partly to prove his influence in the boy’s life. Fear returns when he realizes Sedgewick is cheating. Mr. Hundert’s realization that Sedgewick’s progress is a charade leads Mr. Hundert to assume that Sedgewick cheated because he feared disappointing his father, rather than because of laziness or entitlement. Fear of humiliation drives Mr. Hundert to not reveal Sedgewick’s cheating in both “Mr. Julius Caesar” events. While his instinct during the first “Mr. Julius Caesar” contest is to reveal Sedgewick’s cheating to everyone in the crowd, he decides not to when Woodbridge threatens to fire him if he follows through. In addition to the fear of losing his job, which is his life, Mr. Hundert fears the embarrassment of being exposed for having been fooled by a student. That same fear of humiliation keeps Mr. Hundert from revealing Sedgewick’s cheating in the rematch. If he reveals that Sedgewick still has not learned anything that Mr. Hundert tried to teach him, he will also reveal his gullibility in supporting him during his youth.