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Morphs are parameters that change the shape of an object. For example, many figures have morphs that will change their default body shape to make them lighter, heavier, more muscular, and so on. Other morphs in the face can make the figure smile, close their eyes, or add ethnicity.
Clothing objects often have morphs built in to them to match morphs that are included with figures. In addition, you can also see morphs in scenery props so that you can create hills and valleys in the land.
Each morph has its own parameter dial as shown below and you can use more than one morph in combination to arrive at the shape you desire. You can animate morph changes by setting a morph dial to one value in one frame of the animation and changing the value in a later frame. The state of the morph will transition from one state to another in the in-between frames.