Created attachment 146508 [details]
Simple test case for entity element namespace resolution

Quick note:  This is similar to bug #326605 (I think it is the same root
problem), but it is much more general than just validation or just external
entities, so it seemed more appropriate to make a new bug than expanding that
one.  If this is incorrect, please merge the bugs.

In documents using XML namespaces, entities which contain elements (whether
internal or external, regardless of prefixes used) will trigger warnings about
missing namespace prefixes and will result in the elements inside the entities
being expanded into the empty namespace.  The expected behavior is for the
element namespaces to be resolved at the time the entity is used.  Without this
behavior, the parent element in each entity must have its XML namespace
declared in the entity, which is a bit of a pain.

Note:  This bug was mentioned on the mailing list back in 2004
<http://mail.gnome.org/archives/xml//2004-August/msg00085.html>, but I can't
find a bug report that addresses it (other than #326605, mentioned above).

I have attached a simple test case which demonstrates how an entity containing
only <test_element /> results in test_element in the empty namespace, rather
than the default namespace of its parent element.  The test case also includes
the error output from xsltproc as well as the expected output.