Ghost first mentioned midgets in May 9th, 2011 after Ghost thought that an underage caller sounded like a midget. After this he discussed how he thought being a midget has to be a punishment from god, though he stated at the end that he was only kidding. This obviously lead people to calling ghost a midget and became a fairly popular method of trolling Ghost in late 2011 and early 2012 era of True Capitalist Radio.
Midget Ghost became popular once again around May 2016 after Ghost facetiously claimed that he was a midget. This soon caught on and before long trolls alleging Ghost to be a midget, making splices and remixes featuring quotes and other midget-related content were made, often being featured several times a show during Radio Graffiti.
This troll and fan-given alter ego is similar to Cripple Ghost.
Ghost has stated that he doesn't 'even like midgets that much' and that they 'scare him' though he quickly retracted this comment.