Originally one of the Fay from Tuath De, Gnomes exist in small, peaceful villages in close proximity to human habitation. They are a merry race of creatures, fond of music, dancing, drinking and seem to have back to back celebrations and events. They rarely travel far from their villages and are, at least initially, startled by outsiders but once a given visitor has shown that they mean no harm, are warmly welcomed to join their almost endless celebrations. However care should be taken as several of the drinks they enjoy are spiced with hallucinogenic herbs and mushrooms and what makes a gnome chuckle or dance can result in anyone unused to their concoctions to panic or think that they are going to die (though several gallons would need to be drunk to cause any serious health effects).
Gnomes rarely fight (at worst, they occasionally fight each other with bare fists after drinking too much, but even this is rare and fights are immediately broken up by the other Gnomes), and when threatened will merge into the ground, as they can pass through soil and stone at will. The only exception to this is Goblins, whom they despise, and use tiny tin-whistles that only they can play that cause Goblins intense physical pain and will cause them to leave the area and be reluctant to return.
Gnomes are exceptional herbalists and most villages have at least one or maybe two Alchemists of unparalleled skill. The only limitation is that the potions, talismans and magical trinkets they make can only have healing or protective qualities. There is one exception however, Gnomes are fond of magical Seax style knives, which they use for day to day activities, and in a pinch, to defend themselves. But Gnome fighters are exceptionally rare, and in almost every case – they will simply sink and disappear into the ground when confronted (though any items on them are lost when they do so).