The Emperor's New Fur is a book and cassette set produced as a tie in to the "Kids' Guide to Life" video series. In a variation The Emperor's New Clothes, emperor Herry decides to change his fur for his birthday party. The rest of his court (including Elmo) must decide whether to reveal their honest feelings about his attire.

Mary Kay Bergman narrates the tape, with the voices of Jerry Nelson (as Herry), Fran Brill, Kevin Clash (as Elmo), and Steve Whitmire. Guy Moon composed the background score.