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To begin with, the elements of the red, blue, and black overlay elements will be a blue background.
Events are propagated through the DOM hierarchy, passing from the child to the parent until they get into the document - this means that they do not necessarily propagate through the elements, since they are displayed on the screen. If you make red, blue, and black elements children of a blue background, any events on these children will be faded into the background.
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