This story was written in 1905 by Carl Edward, a danish social novelist who manipulated fairy tales to symbolically include his political and social messages. Interestingly, he was greatly influenced by social Darwinism, shown in this tale by the battle of the seekers of the Truth in which the little girl proves to have won "the survival of the fittest."
Like a fairy tale, the story begins with "Once upon a time" with men sent out on a quest ("in search of Truth"). Like a fairy tale, the characters are nameless ("wise men," "little girl"), and the location is extremely non-specific ("one in this direction and one in that"). True to its title, the tale explains what constitutes a fairy tale in the characterization of one. This fairy tale is of indistinguishable gender, age, and explanation. The fairy tale is the truth for the individual, whatever one takes from its indistinguishable nature defines personal truth. The ones who stay with the Fairy Tale are the believers, here predominantly women and children (those most likely to believe).