Starring: Lionel G. Wilson, Marty Grabstein, Peter Fernandez, Simon Prebble, Thea White
Serpent Of The Evil River / The Transplant - S2-E9
Trivia: When the computer is telling Courage about the giant kangaroo monster, the chicken it steps on looks just like the alien chicken from the very first episode of the show. It even has red eyes.
Continuity mistake: When Courage gives the chicken his suitcase, it at first says "Mars" on it, but then it changes to "Albany".
Courage: There's something fishy goin' on here, or my name is Stinky Looloo, and thank goodness it's not.
Question: There is an episode where a travelling stage and it's owner get people to perform on the stage to an invisible audience (which cheers and applauds). The people then end up loving the stage and eventually get turned into puppets with strings coming out of the happy/sad faces at the top of the stage. Since most/all of the episodes of Courage are based on, or parodies of, famous tales, myths, stories and films, where is this one from? It sounds very familiar but I can't quite place it.
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Chosen answer: The episode you are referring to is the finale to Season 1, "The Great Fusilli. The episode description is nearly identical to your description. However, I have not been able to find any source of this being a parody. Perhaps this episode was just an original?
MooCow