ATTiny85 Timing Question

jrdoner:
As I understand it, the internal clock, as delivered from the factory, is 1 MHz.

It is.

I find that delay(n) gives me 8*n ms. and similarly, millis() advances by one when 8 realtime ms. have passed. Why should that be?

The core / board you are using has F_CPU set to 8000000.