1. in act ii, when malvolio says, "all is fortune," he means that everything that happens to a character is based on circumstances that are out of the character's control. to what extent is malvolio correct? in twelfth night, do the characters' fates depend more on outside circumstances or on their own traits and choices? give examples from the text to support your answer.

To some extent Malvolio is correct in saying this, since many of the events in Twelfth Night are brought about by fate. Most of the confusion and humor in acts 4 and 5 (as soon as Sebastian really starts being part of the plot) occur because fate has brought Sebastian and Viola to the same place when neither thinks the other survived the shipwreck. It can be argued too, that the entire action of the play occurs only because Viola survived and came to Illyria. 

However, Twelfth Night really is more of a play that revolves around characters making certain choices and decisions. The stubbornness of them all. Olivia's refusal to entertain Orsino or to marry at all is what keeps Sir Andrew around, hoping one day she'll stop mourning and maybe marry him.  With him around Sir Toby can keep drinking and that crew, out of boredom, spite, and need for entertainment creates the Malvolio subplot. Orsino's stubbornness and refusal to take Olivia's 'no' for an answer is why Viola gets mixed up in that world. If Orsino had given up he would never have sent Viola, Olivia wouldn't have fallen in love with Cesario, and much of the play would not have happened. While fate does play some part in the action, it is the characters' actions and decisions that really move the plot forward.