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Jethro Tull – Skating Away (On the Thin Ice of a New Day) Lyrics 12 years ago
I agree with you on most things but I don't think the album Passion Play is necessary to understand the song (You haven't heard it and seem to understand the song)
I also think it's a song a little like Pink Floyd's Time From Dark Side. About how we race to make our life meaningful before the sun sets.
I like your line, mu favorite is what follows "....that everybody's on the stage, and it seems like you're the only person \ Sitting in the audience?"

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Jethro Tull – Skating Away (On the Thin Ice of a New Day) Lyrics 12 years ago
The part I'm least convinced about is the circle line part. However the circle line is the London Underground line that encircles the central part of London including the CIty. I think this represents the standard life, the life you are expected to lead because you are "a million generations away from expectations" of being who you want to be. Once you leave this standard life the ice creaks behind you. In other words you are now taking a risk and the ice is thin out here and could collapse underneath you at any moment.
You are a rabbit on the run because you are now living your own life and trying to do something with real meaning (later referred to as hoping you have been written into the passion play. But silver splinters fly (ice crystals you are spraying out) in your rush to make it all happen because the sun is setting. Sun setting is the metaphor for the limited time we have to live our lives. We are all closing in on that time
That's what I think anyway

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