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Gypsy is a term commonly used to refer to an ethnic group of individuals who migrated to Europe from northern India around the 14th century. Speaking several dialects of the Romani language, gypsies have fallen prey to several stereotypes exploited in the media and Western pop culture. These traits have included the idea that gypsies are a magical people, possessing supernatural powers and the use of conventional trickery to achieve a favorable outcome concerning social and economic dealings. They are often depicted as travelers who prefer a nomadic way of life outside the boundaries of society, who sometimes leave the confines of their camp to integrate with local people, offering services such as fortune-telling.
One such character was featured as a major player in the plot of The Muppet Show episode 416. A gypsy woman (played by Jerry Nelson) appears in the theatre who was paid by Statler and Waldorf to place a $7 half-hour curse on the show. She later appeared as a fortune teller in episode 511.