diff --git a/django/template/__init__.py b/django/template/__init__.py
index 08f433fec9..993de7304e 100644
--- a/django/template/__init__.py
+++ b/django/template/__init__.py
@@ -318,7 +318,7 @@ class Parser(object):
         self.tags.update(lib.tags)
         self.filters.update(lib.filters)
 
-    def compile_filter(self,token):
+    def compile_filter(self, token):
         "Convenient wrapper for FilterExpression"
         return FilterExpression(token, self)
 
@@ -543,11 +543,14 @@ class FilterExpression(object):
             raise TemplateSyntaxError, "Could not parse the remainder: %s" % token[upto:]
         self.var, self.filters = var, filters
 
-    def resolve(self, context):
+    def resolve(self, context, ignore_failures=False):
         try:
             obj = resolve_variable(self.var, context)
         except VariableDoesNotExist:
-            obj = settings.TEMPLATE_STRING_IF_INVALID
+            if ignore_failures:
+                return None
+            else:
+                return settings.TEMPLATE_STRING_IF_INVALID
         for func, args in self.filters:
             arg_vals = []
             for lookup, arg in args:
diff --git a/django/template/context.py b/django/template/context.py
index 44a97f95a8..6d9efdc7ec 100644
--- a/django/template/context.py
+++ b/django/template/context.py
@@ -37,7 +37,7 @@ class Context(object):
         for d in self.dicts:
             if d.has_key(key):
                 return d[key]
-        return settings.TEMPLATE_STRING_IF_INVALID
+        raise KeyError(key)
 
     def __delitem__(self, key):
         "Delete a variable from the current context"
@@ -49,7 +49,7 @@ class Context(object):
                 return True
         return False
 
-    def get(self, key, otherwise):
+    def get(self, key, otherwise=None):
         for d in self.dicts:
             if d.has_key(key):
                 return d[key]
diff --git a/django/template/defaulttags.py b/django/template/defaulttags.py
index 88cb5f68be..0a4fe33d82 100644
--- a/django/template/defaulttags.py
+++ b/django/template/defaulttags.py
@@ -45,7 +45,10 @@ class FirstOfNode(Node):
 
     def render(self, context):
         for var in self.vars:
-            value = resolve_variable(var, context)
+            try:
+                value = resolve_variable(var, context)
+            except VariableDoesNotExist:
+                continue
             if value:
                 return str(value)
         return ''
@@ -144,8 +147,14 @@ class IfEqualNode(Node):
         return "<IfEqualNode>"
 
     def render(self, context):
-        val1 = resolve_variable(self.var1, context)
-        val2 = resolve_variable(self.var2, context)
+        try:
+            val1 = resolve_variable(self.var1, context)
+        except VariableDoesNotExist:
+            val1 = None
+        try:
+            val2 = resolve_variable(self.var2, context)
+        except VariableDoesNotExist:
+            val2 = None
         if (self.negate and val1 != val2) or (not self.negate and val1 == val2):
             return self.nodelist_true.render(context)
         return self.nodelist_false.render(context)
@@ -177,7 +186,7 @@ class IfNode(Node):
         if self.link_type == IfNode.LinkTypes.or_:
             for ifnot, bool_expr in self.bool_exprs:
                 try:
-                    value = bool_expr.resolve(context)
+                    value = bool_expr.resolve(context, True)
                 except VariableDoesNotExist:
                     value = None
                 if (value and not ifnot) or (ifnot and not value):
@@ -186,7 +195,7 @@ class IfNode(Node):
         else:
             for ifnot, bool_expr in self.bool_exprs:
                 try:
-                    value = bool_expr.resolve(context)
+                    value = bool_expr.resolve(context, True)
                 except VariableDoesNotExist:
                     value = None
                 if not ((value and not ifnot) or (ifnot and not value)):
diff --git a/tests/othertests/templates.py b/tests/othertests/templates.py
index c0333c90a6..d3b09c5310 100644
--- a/tests/othertests/templates.py
+++ b/tests/othertests/templates.py
@@ -78,7 +78,7 @@ TEMPLATE_TESTS = {
     'basic-syntax03': ("{{ first }} --- {{ second }}", {"first" : 1, "second" : 2}, "1 --- 2"),
 
     # Fail silently when a variable is not found in the current context
-    'basic-syntax04': ("as{{ missing }}df", {}, "asdf"),
+    'basic-syntax04': ("as{{ missing }}df", {}, "asINVALIDdf"),
 
     # A variable may not contain more than one word
     'basic-syntax06': ("{{ multi word variable }}", {}, template.TemplateSyntaxError),
@@ -94,7 +94,7 @@ TEMPLATE_TESTS = {
     'basic-syntax10': ("{{ var.otherclass.method }}", {"var": SomeClass()}, "OtherClass.method"),
 
     # Fail silently when a variable's attribute isn't found
-    'basic-syntax11': ("{{ var.blech }}", {"var": SomeClass()}, ""),
+    'basic-syntax11': ("{{ var.blech }}", {"var": SomeClass()}, "INVALID"),
 
     # Raise TemplateSyntaxError when trying to access a variable beginning with an underscore
     'basic-syntax12': ("{{ var.__dict__ }}", {"var": SomeClass()}, template.TemplateSyntaxError),
@@ -110,10 +110,10 @@ TEMPLATE_TESTS = {
     'basic-syntax18': ("{{ foo.bar }}", {"foo" : {"bar" : "baz"}}, "baz"),
 
     # Fail silently when a variable's dictionary key isn't found
-    'basic-syntax19': ("{{ foo.spam }}", {"foo" : {"bar" : "baz"}}, ""),
+    'basic-syntax19': ("{{ foo.spam }}", {"foo" : {"bar" : "baz"}}, "INVALID"),
 
     # Fail silently when accessing a non-simple method
-    'basic-syntax20': ("{{ var.method2 }}", {"var": SomeClass()}, ""),
+    'basic-syntax20': ("{{ var.method2 }}", {"var": SomeClass()}, "INVALID"),
 
     # Basic filter usage
     'basic-syntax21': ("{{ var|upper }}", {"var": "Django is the greatest!"}, "DJANGO IS THE GREATEST!"),
@@ -152,7 +152,7 @@ TEMPLATE_TESTS = {
     'basic-syntax32': (r'{{ var|yesno:"yup,nup,mup" }} {{ var|yesno }}', {"var": True}, 'yup yes'),
 
     # Fail silently for methods that raise an exception with a "silent_variable_failure" attribute
-    'basic-syntax33': (r'1{{ var.method3 }}2', {"var": SomeClass()}, "12"),
+    'basic-syntax33': (r'1{{ var.method3 }}2', {"var": SomeClass()}, "1INVALID2"),
 
     # In methods that raise an exception without a "silent_variable_attribute" set to True,
     # the exception propogates
@@ -495,7 +495,7 @@ TEMPLATE_TESTS = {
                   '{{ item.foo }}' + \
                   '{% endfor %},' + \
                   '{% endfor %}',
-                  {}, ''),
+                  {}, 'INVALID:INVALIDINVALIDINVALIDINVALIDINVALIDINVALIDINVALID,'),
 
     ### TEMPLATETAG TAG #######################################################
     'templatetag01': ('{% templatetag openblock %}', {}, '{%'),
@@ -579,6 +579,9 @@ def run_tests(verbosity=0, standalone=False):
 
     # Turn TEMPLATE_DEBUG off, because tests assume that.
     old_td, settings.TEMPLATE_DEBUG = settings.TEMPLATE_DEBUG, False
+    # Set TEMPLATE_STRING_IF_INVALID to a known string 
+    old_invalid, settings.TEMPLATE_STRING_IF_INVALID = settings.TEMPLATE_STRING_IF_INVALID, 'INVALID'
+    
     for name, vals in tests:
         install()
         if 'LANGUAGE_CODE' in vals[1]:
@@ -609,6 +612,7 @@ def run_tests(verbosity=0, standalone=False):
     loader.template_source_loaders = old_template_loaders
     deactivate()
     settings.TEMPLATE_DEBUG = old_td
+    settings.TEMPLATE_STRING_IF_INVALID = old_invalid
 
     if failed_tests and not standalone:
         msg = "Template tests %s failed." % failed_tests