diff --git a/chapter3/interpreter.coffee b/chapter3/interpreter.coffee
new file mode 100644
index 0000000..cb2ad58
--- /dev/null
+++ b/chapter3/interpreter.coffee
@@ -0,0 +1,152 @@
+{listToString, listToVector, pairp, cons, car, cdr, caar, cddr, cdar, cadr, caadr, cadar, caddr, nilp, nil, setcdr, metacadr} = require "cons-lists/lists"
+readline = require "readline"
+{inspect} = require "util"
+print = require "./print"
+
+
+env_init = nil
+env_global = env_init
+
+ntype = (node) -> car node
+nvalu = (node) -> cadr node
+
+definitial = (name, value = nil) ->
+  env_global = (cons (cons name, value), env_global)
+  name
+
+defprimitive = (name, nativ, arity) ->
+  definitial name, ((args) ->
+    vmargs = listToVector(args)
+    if (vmargs.length == arity)
+      nativ.apply null, vmargs
+    else
+      throw "Incorrect arity")
+
+the_false_value = (cons "false", "boolean")
+
+definitial "#t", true
+definitial "#f", the_false_value
+definitial "nil", nil
+definitial "foo"
+definitial "bar"
+definitial "fib"
+definitial "fact"
+
+defpredicate = (name, nativ, arity) ->
+  defprimitive name, ((a, b) -> if nativ.call(null, a, b) then true else the_false_value), arity
+
+defprimitive "cons", cons, 2
+defprimitive "car", car, 2
+defprimitive "set-cdr!", setcdr, 2
+defprimitive "+", ((a, b) -> a + b), 2
+defprimitive "*", ((a, b) -> a * b), 2
+defprimitive "-", ((a, b) -> a - b), 2
+defprimitive "/", ((a, b) -> a / b), 2
+defpredicate "lt", ((a, b) -> a < b), 2
+defpredicate "eq?", ((a, b) -> a == b), 2
+
+extend = (env, variables, values) ->
+  if (pairp variables)
+    if (pairp values)
+      (cons (cons (car variables), (car values)),
+        (extend env, (cdr variables), (cdr values)))
+    else
+      throw "Too few values"
+  else if (nilp variables)
+    if (nilp values) then env else throw "Too many values"
+  else
+    if (symbolp variables)
+      (cons (cons variables, values), env)
+    else
+      nil
+
+make_function = (variables, body, env) ->
+  (values) -> eprogn body, (extend env, variables, values)
+
+invoke = (fn, args) ->
+  (fn args)
+
+# Takes a list of nodes and calls evaluate on each one, returning the
+# last one as the value of the total expression.  In this example, we
+# are hard-coding what ought to be a macro, namely the threading
+# macros, "->"
+
+eprogn = (exps, env) ->
+  if (pairp exps)
+    if pairp (cdr exps)
+      evaluate (car exps), env
+      eprogn (cdr exps), env
+    else
+      evaluate (car exps), env
+  else
+    nil
+
+evlis = (exps, env) ->
+  if (pairp exps)
+    (cons (evaluate (car exps), env), (evlis (cdr exps), env))
+  else
+    nil
+    
+lookup = (id, env) ->
+  if (pairp env)
+    if (caar env) == id
+      cdar env
+    else
+      lookup id, (cdr env)
+  else
+    nil
+
+update = (id, env, value) ->
+  if (pairp env)
+    if (caar env) == id
+      setcdr value, (car env)
+      value
+    else
+      update id, (cdr env), value
+  else
+    nil
+
+# This really ought to be the only place where the AST meets the
+# interpreter core.  I can't help but think that this design precludes
+#  pluggable interpreter core.
+
+astSymbolsToLispSymbols = (node) ->
+  return nil if nilp node
+  throw "Not a list of variable names" if not (ntype(node) is 'list')
+  handler = (node) ->
+    return nil if nilp node
+    cons (nvalu car node), (handler cdr node)
+  handler(nvalu node)
+  
+
+# Takes an AST node and evaluates it and its contents.  A node may be
+# ("list" (... contents ...)) or ("number" 42) or ("symbol" x), etc.
+
+cadddr = metacadr('cadddr')
+
+evaluate = (e, env) ->
+  [type, exp] = [(ntype e), (nvalu e)]
+  if type == "symbol"
+    return lookup exp, env
+  else if type in ["number", "string", "boolean", "vector"]
+    return exp
+  else if type == "list"
+    head = car exp
+    if (ntype head) == 'symbol'
+      switch (nvalu head)
+        when "quote" then cdr exp
+        when "if"
+          unless (evaluate (cadr exp), env) == the_false_value
+            evaluate (caddr exp), env
+          else
+            evaluate (cadddr exp), env
+        when "begin" then eprogn (cdr exp), env
+        when "set!" then update (nvalu cadr exp), env, (evaluate (caddr exp), env)
+        when "lambda" then make_function (astSymbolsToLispSymbols cadr exp), (cddr exp), env
+        else invoke (evaluate (car exp), env), (evlis (cdr exp), env)
+    else
+      invoke (evaluate (car exp), env), (evlis (cdr exp), env)
+  else
+    throw new Error("Can't handle a #{type}")
+
+module.exports = (c) -> evaluate c, env_global
diff --git a/test/test_chapter3.coffee b/test/test_chapter-lambda-1.coffee
similarity index 97%
rename from test/test_chapter3.coffee
rename to test/test_chapter-lambda-1.coffee
index 97f85d1..e132455 100644
--- a/test/test_chapter3.coffee
+++ b/test/test_chapter-lambda-1.coffee
@@ -3,7 +3,7 @@ chai.should()
 expect = chai.expect 
 
 {cons} = require "cons-lists/lists"
-olisp = require '../chapter3/interpreter'
+olisp = require '../chapter-lambda-1/interpreter'
 {read, readForms} = require '../chapter1/reader'
 
 the_false_value = (cons "false", "boolean")