This short is important in stooge history for many reasons, not the least of which is that it's the first to establish the basic character personae that would follow them through their entire careers.
It begins with the stooges as beggars, trying to find food or work on the street. This is the first time where we see them as common men, trying to make sense of the real world--a recurring theme in most of their movies. Chased by cops, they end up in an art school and soon create chaos with a clay-throwing fight, a precursor to the pie-throwing spectacles which became their trademark throughout their careers. We see the boys mixing with high society and dragging it down to their level, another common theme.
This short also shows the beginning of how their characters evolved in relation to each other. We clearly see Moe and Curly (or Curley) as adversaries, with Larry as the man in the middle, for the first time. We also see Moe adding his familiar--and painful--slapstick reaction each time Larry or Curly makes a wisecrack. We hear Curly saying "I'm a victim of coicumstance!" and Moe's trademark windmill bonk on the top of the head for the first time. And it's the first time we hear Larry say "Sorry, Moe, it was an accident!", a line that was repeated throughout his entire career. It also lets us know that Moe is the team's leader--and the one to be afraid of.
About the only thing that tips us off that this is still an early short is that Curly is not yet using his manic, high-pitched voice. And some of the direction is slow, as when the boys are smearing clay in each other's faces.
Overall, it's a fun short and a good introduction to the 3 Stooges' brand of humor.