The magazine "Paintings of the People" initiates a contest to select the best watercolor painting of ethnic peoples and customs. A hungry bohemian painter invokes his muse to help him to produce the winning painting, and when he experiments with scenes set in Mexico, Argentina and Spain, his paintings come to life. In Xochimilco, Mexico, a young bachelor has a drunken dream that his girl friend is performing Josephine Baker's famous banana dance in a Parisian nightclub. In Buenos Aires, an Italian and a Galician are rivals for the affections of a Creole girl. At the other side of the Hispanic world, a Sevillian girl tells of her tragic romance with a matador, who obstinately continues to appear in the ring despite having been injured.

Carmen, a gypsy, working in a Spanish cigar factory, is flaunted by Escamillo, the bullfighter, but infatuates José, a soldier, who aids her to escape from jail and follows her to the gypsy camp. Tiring of his love, Carmen finally fascinates Escamillo and the love-crazed José kills her at a bull fight just as Escamillo is being proclaimed by the audience.

In Jedda, Persia, American consul George Gage, known as a woman hater, is shocked when his newly arrived assistant, "Billie Baxter," whom he assumes will be a man, turns out to be an attractive woman. Despite his formerly anti-female leanings, George finds himself falling in love with Billie and is jealous when his womanizing friend, Brad Wilson, arrives in Jedda and makes a play for her. At the same time, when the ruling Pasha, Abdul Mustapha, meets Billie, he also becomes smitten and tries to have her brought to his harem. Despite their rivalry, George and Brad join forces and save Billie from the Pasha, after which she decides that George is the man she loves and wants to marry. Considered a lost film.

When a proud noble refuses to kiss the hand of the despotic King James in 1690, he is cruelly executed and his son surgically disfigured.