The play opens on the day before Christmas. Nora returns home from shopping; although her husband is expecting a promotion and payrise, he still criticizes her excessive spending. In response, Nora plays around with her husband as a child might, and, indeed, Torvald addresses her as he might a child. He hands her more money but only after having criticized her spending. Their relationship compares with that of a daughter and father and, indeed, is exactly like the relationship Nora had with her father. Early in this act the audience is aware that the relationship between the Helmers is based on dishonesty when Nora denies that she has eaten macaroons, knowing that her husband has forbidden her to do so.

Nora is visited by an old friend, Christine Linde. Mrs. Linde tells Nora that she has had some difficult problems and is looking for employment. Nora confesses to Mrs. Linde that she, too, has been desperate and reveals that she had been forced to borrow money several years earlier when her husband was ill. The money was necessary to finance a trip that saved her husband’s life, but Nora forged her father’s signature to secure the loan and lied to Torvald that her father had given them the money. Thus, she has been deceiving her husband for years as she worked to repay the loan. She tells this story to Mrs. Linde to demonstrate that she is an adult who is capable of both caring for her family and conducting business. Unfortunately, Nora’s secret is known by Krogstad, an employee at Torvald’s bank. After a confrontation with Krogstad, Torvald decides to fire Krogstad and hire Mrs. Linde in his place.

Krogstad threatens Nora, telling her that if he loses his job he will expose her earlier dishonesty. For her part, Nora cannot believe that forging her father’s signature - an act that saved her husband’s life - could lead to a serious punishment. Still, she is concerned enough to plead with Torvald on behalf of Krogstad. Torvald refuses to reconsider firing Krogstad and forbids Nora to even mention his name.

The Helmers’ house is decorated tastefully, showing they are relatively well-off. Nora’s happiness as she returns with the Christmas shopping reveals that she enjoys both spending money and doing nice things for her husband and children. At the same time, it will soon become clear that eating the macaroons is an act of deceit and disobedience, as she has been forbidden by Torvald.

Torvald’s nicknames for Nora suggest that he thinks of her almost as a child or a pet. This impression is emphasized when Nora hides the macaroons, like a mischievous child afraid of getting caught. Torvald’s parent-like attitude is highlighted by the way he talks to Nora about money, implying that he thinks she's not intelligent enough to be financially responsible.

Nora’s happiness shows she enjoys performing the role of a wife and mother. At the same time, her request for money to buy something for herself suggests she wants to be allowed to make decisions for herself. But Torvald clearly doesn’t trust Nora with the money.

Even though Torvald and Nora appear to be in love, Torvald does not trust her, and Nora on her part doesn’t hesitate to lie to him; she was eating macaroons earlier.

Money is central to Torvald and Nora’s happiness. Torvald’s emphasis on their new prosperity suggests how important money is to him as well.

Mrs. Linde has been visibly changed by her life experiences. Nora’s happiness in the last eight years has left her remaining girlishly innocent and naive, whereas Mrs. Linde seems much older. Mrs. Linde’s decision to travel alone was unusual for women at the time, and Nora’s admiration of her “courage” suggests a desire for independence. Mrs. Linde’s status as a widow adds to the impression that she is much older than Nora.

In this part of the play Nora is childishly impolite. Mrs. Linde is obviously in a bad situation following the death of her husband, yet instead of listening to her Nora begins to insensitively boast about her and Torvald’s good fortune. Her speech also shows that she believes money leads to freedom and happiness.

Mrs. Linde’s story shows how difficult it was for women to survive without the financial support of men. The need for money effectively forced her to marry her husband, and after his death her struggle to support her family highlights the obstacles women faced in earning a reasonable income.

Both Mrs. Linde and Nora have strange and suspicious reactions to Krogstad’s arrival. Thus when Krogstad claims he is here on “routine” business matters, we are tempted to believe there is more to the story.

Here, Krogstad reveals more about Nora’s deceitful nature; not only did she lie to Torvald (and everyone else) about where the money for the trip to Italy came from, but she also committed forgery, an illegal act. He threatens to reveal the secret unless she does him a particular favour. Nora is terrified to the point that she even seems to be going mad.