Got empty blocks working.

lib/handlebars.js

@@ -172,6 +172,7 @@ var Handlebars = {
       out = out + lookup.call(context, arg, fn);
     }
     else if (typeof lookup != 'undefined') {
+      console.log(fn);
       out = out + Handlebars.helperMissing.call(arg, lookup, fn);
     }
 
@@ -262,29 +263,32 @@ Handlebars.Compiler.prototype = {
   },
 
   compile: function(endCondition) {
-    var chr;
-    while(chr = this.getChar()) {
-      if(chr === "{" && this.peek() === "{" && !this.mustache) {
-        this.getChar();
-        this.parseMustache();
+    // if we're at the end condition already then we don't have to do any work!
+    if (!endCondition || !endCondition(this)) {
+      var chr;
+      while(chr = this.getChar()) {
+        if(chr === "{" && this.peek() === "{" && !this.mustache) {
+          this.getChar();
+          this.parseMustache();
 
-      } else {
-        if(chr === "\n") {
-          this.newlines = this.newlines + "\n";
-          chr = "\\n";
-        } else if (chr === "\r") {
-          this.newlines = this.newlines + "\r";
-          chr = "\\r";
+        } else {
+          if(chr === "\n") {
+            this.newlines = this.newlines + "\n";
+            chr = "\\n";
+          } else if (chr === "\r") {
+            this.newlines = this.newlines + "\r";
+            chr = "\\r";
+          }
+          this.text = this.text + chr;
         }
-        this.text = this.text + chr;
-      }
 
-      if (endCondition && this.peek(5) == "{{^}}") {
-        this.continueInverted = true;
-        this.getChar(5);
-        break;
+        if (endCondition && this.peek(5) == "{{^}}") {
+          this.continueInverted = true;
+          this.getChar(5);
+          break;
+        }
+        else if(endCondition && endCondition(this)) { break };
       }
-      else if(endCondition && endCondition(this)) { break };
     }
 
     this.addText();

test/handlebars.js

@@ -138,6 +138,16 @@ test("array", function() {
 
 });
 
+test("empty block", function() {
+  var string   = "{{#goodbyes}}{{/goodbyes}}cruel {{world}}!"
+  var hash     = {goodbyes: [{text: "goodbye"}, {text: "Goodbye"}, {text: "GOODBYE"}], world: "world"};
+  shouldCompileTo(string, hash, "cruel world!",
+                  "Arrays iterate over the contents when not empty");
+
+  shouldCompileTo(string, {goodbyes: [], world: "world"}, "cruel world!",
+                  "Arrays ignore the contents when empty");
+});
+
 test("nested iteration", function() {
 
 });