Trivia: Jim Henson was incredibly disheartened by the critical backlash against the film (mainly aimed at its frightening imagery and simplistic story) and its failure at the box office, and it left him greatly depressed. However, shortly before he died, his son told him that the film was finally finding a strong and dedicated cult-audience thanks to its home-video releases, finally fulfilling the potential he initially saw in the film and giving him a sense of peace regarding the film. The film has since gone on to become more and more popular in the ensuing years, and is now considered something of an "80's classic" and to this day is still a hot seller on DVD and Blu-Ray.
Labyrinth (1986)
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Directed by: Jim Henson
Starring: Jennifer Connelly, David Bowie, Shelley Thompson, Toby Froud
Visible crew/equipment: After Sarah meets Sir Didymus at the Bog of Eternal Stench, Sir Didymus climbs on Ludo's back. While he is up there, the bottom portion of Didymus' right hand 'puppet control rod' is seen being controlled on Ludo's right side. The top portion of his right hand control rod is seen many times throughout his shots. His left hand control rod is concealed as his staff. (00:58:20)
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Answer: They are real. This is seen when Jareth turns into an owl and Sarah sees him fly out of the house. Further proof of this is when everybody that Sarah met were in her room and Jareth was looking into her room before flying off.