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Families prepare food and other offerings and place them on a shrine dedicated to deceased relatives. On this day ghosts and other supernatural creatures come out from the Underworld and move among the living. The annual Hungry Ghost Festival, celebrated in China (including Hong Kong and Macao Special Administrative Regions, Taiwan), Malaysia, Singapore, and elsewhere in the Chinese diaspora, is dedicated to performing rituals to honor and remember the spirits of the dead. It was believed that the spirits of the deceased can help them if they were properly respected and rewarded. Traditionally, the Chinese believed that it was possible to contact the spirits of deceased relatives and ancestors through a medium. Beliefs about ghosts are closely associated with Chinese ancestor worship, where much have been incorporated into Buddhism and in turn influenced and created uniquely Chinese Buddhist beliefs about the supernatural. Many Chinese folk beliefs about ghosts have been adopted into the mythologies and folklore of neighboring East Asian cultures, notably Japan, Korea, and Vietnam. Ghosts are typically malevolent and will cause harm to the living if provoked.
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According to traditional beliefs a ghost is the spirit form of a person who has died. Chinese folklore features a rich variety of ghosts, monsters, and other supernatural creatures.