Physics
Skating on ice is possible because

The surface of ice is smooth
Ice is cold
The pressure on the ice due to skate raises its melting point
The pressure on the ice due to skate melts the ice by lowering its melting point forming a thin film of water

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Physics
Ice is packed in saw dust because

Saw dust does not stick to the ice.
Saw dust is a good conductor of heat.
Saw dust will not get melted easily.
Saw dust is poor conductor of heat.

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