diff --git a/core/modules/views/src/Element/View.php b/core/modules/views/src/Element/View.php
index a59aa16..eb815cf 100644
--- a/core/modules/views/src/Element/View.php
+++ b/core/modules/views/src/Element/View.php
@@ -30,7 +30,7 @@ public function getInfo() {
       '#name' => NULL,
       '#display_id' => 'default',
       '#arguments' => array(),
-      '#embed' => FALSE,
+      '#embed' => TRUE,
     );
   }
 
@@ -48,7 +48,7 @@ public static function preRenderViewElement($element) {
     }
 
     if ($view && $view->access($element['#display_id'])) {
-      if (!empty($element['embed'])) {
+      if (!empty($element['#embed'])) {
         $element += $view->preview($element['#display_id'], $element['#arguments']);
       }
       else {
diff --git a/core/modules/views/src/Tests/ViewElementTest.php b/core/modules/views/src/Tests/ViewElementTest.php
index ec85538..441f78e 100644
--- a/core/modules/views/src/Tests/ViewElementTest.php
+++ b/core/modules/views/src/Tests/ViewElementTest.php
@@ -21,7 +21,7 @@ class ViewElementTest extends ViewTestBase {
    *
    * @var array
    */
-  public static $testViews = array('test_view');
+  public static $testViews = array('test_view_embed');
 
   /**
    * The raw render data array to use in tests.
@@ -40,9 +40,10 @@ protected function setUp() {
     $this->render = array(
       'view' => array(
         '#type' => 'view',
-        '#name' => 'test_view',
+        '#name' => 'test_view_embed',
         '#display_id' => 'default',
         '#arguments' => array(25),
+        '#embed' => FALSE,
       ),
     );
   }
@@ -51,7 +52,7 @@ protected function setUp() {
    * Tests the rendered output and form output of a view element.
    */
   public function testViewElement() {
-    $view = Views::getView('test_view');
+    $view = Views::getView('test_view_embed');
     $view->setDisplay();
 
     // Set the content as our rendered array.
@@ -112,4 +113,72 @@ public function testViewElement() {
     $this->assertEqual(count($xpath), 1);
   }
 
+  /**
+   * Tests the rendered output and form output of a view element, using the
+   * embed display plugin.
+   */
+  public function testViewElementEmbed() {
+    $view = Views::getView('test_view_embed');
+    $view->setDisplay('embed_1');
+
+    // Set the content as our rendered array.
+    $render = $this->render;
+    $render['#embed'] = TRUE;
+    $this->drupalSetContent(drupal_render($render));
+
+    $xpath = $this->xpath('//div[@class="views-element-container"]');
+    $this->assertTrue($xpath, 'The view container has been found in the rendered output.');
+
+    $xpath = $this->xpath('//div[@class="view-content"]');
+    $this->assertTrue($xpath, 'The view content has been found in the rendered output.');
+    // There should be 5 rows in the results.
+    $xpath = $this->xpath('//div[@class="view-content"]/div');
+    $this->assertEqual(count($xpath), 5);
+
+    // Test a form.
+    $this->drupalGet('views_test_data_element_embed_form');
+
+    $xpath = $this->xpath('//div[@class="views-element-container form-wrapper"]');
+    $this->assertTrue($xpath, 'The view container has been found on the form.');
+
+    $xpath = $this->xpath('//div[@class="view-content"]');
+    $this->assertTrue($xpath, 'The view content has been found on the form.');
+    // There should be 5 rows in the results.
+    $xpath = $this->xpath('//div[@class="view-content"]/div');
+    $this->assertEqual(count($xpath), 5);
+
+    // Add an argument and save the view.
+    $view->displayHandlers->get('default')->overrideOption('arguments', array(
+      'age' => array(
+        'default_action' => 'ignore',
+        'title' => '',
+        'default_argument_type' => 'fixed',
+        'validate' => array(
+          'type' => 'none',
+          'fail' => 'not found',
+        ),
+        'break_phrase' => FALSE,
+        'not' => FALSE,
+        'id' => 'age',
+        'table' => 'views_test_data',
+        'field' => 'age',
+        'plugin_id' => 'numeric',
+      )
+    ));
+    $view->save();
+
+    // Test the render array again.
+    $render = $this->render;
+    $render['#embed'] = TRUE;
+    $this->drupalSetContent(drupal_render($render));
+    // There should be 1 row in the results, 'John' arg 25.
+    $xpath = $this->xpath('//div[@class="view-content"]/div');
+    $this->assertEqual(count($xpath), 1);
+
+    // Test that the form has the same expected result.
+    $this->drupalGet('views_test_data_element_embed_form');
+    $xpath = $this->xpath('//div[@class="view-content"]/div');
+    $this->assertEqual(count($xpath), 1);
+  }
+
 }
diff --git a/core/modules/views/tests/modules/views_test_config/test_views/views.view.test_view_embed.yml b/core/modules/views/tests/modules/views_test_config/test_views/views.view.test_view_embed.yml
new file mode 100644
index 0000000..8ca9e5c
--- /dev/null
+++ b/core/modules/views/tests/modules/views_test_config/test_views/views.view.test_view_embed.yml
@@ -0,0 +1,63 @@
+langcode: und
+status: true
+dependencies: {  }
+id: test_view_embed
+label: 'Test view embed'
+module: views
+description: ''
+tag: ''
+base_table: views_test_data
+base_field: nid
+core: '8'
+display:
+  default:
+    display_options:
+      defaults:
+        fields: false
+        pager: false
+        sorts: false
+      row:
+        type: fields
+      fields:
+        age:
+          field: age
+          id: age
+          relationship: none
+          table: views_test_data
+          plugin_id: numeric
+        id:
+          field: id
+          id: id
+          relationship: none
+          table: views_test_data
+          plugin_id: numeric
+        name:
+          field: name
+          id: name
+          relationship: none
+          table: views_test_data
+          plugin_id: string
+      pager:
+        options:
+          offset: 0
+        type: none
+      sorts:
+        id:
+          field: id
+          id: id
+          order: ASC
+          relationship: none
+          table: views_test_data
+          plugin_id: numeric
+      field_langcode: '***LANGUAGE_language_content***'
+      field_langcode_add_to_query: null
+    display_plugin: default
+    display_title: Master
+    id: default
+    position: 0
+  embed_1:
+    display_options: {  }
+    display_plugin: embed
+    display_title: Embedded
+    id: embed_1
+    position: 1
diff --git a/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementEmbedForm.php b/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementEmbedForm.php
new file mode 100644
index 0000000..1fb160e
--- /dev/null
+++ b/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementEmbedForm.php
@@ -0,0 +1,44 @@
+<?php
+/**
+ * @file
+ * Contains \Drupal\views_test_data\Form\ViewsTestDataElementEmbedForm.
+ */
+
+namespace Drupal\views_test_data\Form;
+
+use Drupal\Core\Form\FormBase;
+use Drupal\Core\Form\FormStateInterface;
+
+/**
+ * Simple form page callback to test the view element.
+ */
+class ViewsTestDataElementEmbedForm extends FormBase {
+
+  /**
+   * {@inheritdoc}
+   */
+  public function getFormId() {
+    return 'views_test_data_element_embed_form';
+  }
+
+  /**
+   * {@inheritdoc}
+   */
+  public function buildForm(array $form, FormStateInterface $form_state) {
+    $form['view'] = array(
+      '#type' => 'view',
+      '#name' => 'test_view_embed',
+      '#display_id' => 'embed_1',
+      '#arguments' => array(25),
+      '#embed' => TRUE,
+    );
+
+    return $form;
+  }
+
+  /**
+   * {@inheritdoc}
+   */
+  public function submitForm(array &$form, FormStateInterface $form_state) {
+  }
+}
diff --git a/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementForm.php b/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementForm.php
index 27f7160..73f902b 100644
--- a/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementForm.php
+++ b/core/modules/views/tests/modules/views_test_data/src/Form/ViewsTestDataElementForm.php
@@ -27,9 +27,10 @@ public function getFormId() {
   public function buildForm(array $form, FormStateInterface $form_state) {
     $form['view'] = array(
       '#type' => 'view',
-      '#name' => 'test_view',
+      '#name' => 'test_view_embed',
       '#display_id' => 'default',
       '#arguments' => array(25),
+      '#embed' => FALSE,
     );
 
     return $form;
diff --git a/core/modules/views/tests/modules/views_test_data/views_test_data.routing.yml b/core/modules/views/tests/modules/views_test_data/views_test_data.routing.yml
index e1c25ea..63d8ac8 100644
--- a/core/modules/views/tests/modules/views_test_data/views_test_data.routing.yml
+++ b/core/modules/views/tests/modules/views_test_data/views_test_data.routing.yml
@@ -4,3 +4,10 @@ views_test_data.element:
     _form: '\Drupal\views_test_data\Form\ViewsTestDataElementForm'
   requirements:
     _access: 'TRUE'
+
+views_test_data.element_embed:
+  path: '/views_test_data_element_embed_form'
+  defaults:
+    _form: '\Drupal\views_test_data\Form\ViewsTestDataElementEmbedForm'
+  requirements:
+    _access: 'TRUE'