There were shepherds abiding in the fields near Bethlehem. There were also many sheep needed for the Temple services in Jerusalem. Since Bethlehem was only eight miles from Jerusalem these shepherds would probably have been tending sheep for the Temple service. The Mishna states that Migdal Eder is a location referred to in Micah as the tower of the flock. These special lambs came from a unique flock that was designated for sacrifice at the temple in Jerusalem. The shepherds were educated in the specific quality of the sacrifice and it was their job to make sure that none of the animals were hurt, damaged, or blemished. These lambs were apparently wrapped in "swaddling cloths" to protect them from injury which were also used to wrap the Lord Jesus at His birth.
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