I think it's time to put in my two cents regarding my favorite midget of all time. Hornswoggle is and always has been a great performer and a great wrestler considering his limitations. Yeah, he doesn't get a lot of chance to show off his technical brilliance given the fact that most of his opponents stand head and shoulders (and sometimes waist) over him, however, if you really want to see the little guy shine, check out the Mini Royal Rumble during the "Illegitimate McMahon" storyline.
Wrestling aside, it doesn't seem that he's really there for the major brutality matches. In a world where much of pro wrestling is a circus anyways (as has always been the case with the WWF/WWE) there is a tradition of "clowns" for comic relief. The most obvious of these, of course, is Doink and while most will remember him with something of a blush, one cannot deny that Matt Osborne took that character and made him one of the WWF's most memorable (so much in fact that he tends to end up in nearly every Raw vs. Smackdown game in one form or another.) Others have followed, some more memorable than others and admittedly some with more wrestling ability than others. Doink was an excellent wrestler as was Eugene (who seems to be making a comeback) and both were there primarily for comic relief. Nowadays, the WWE has several clowns, Santino Marella for one (whose cross-dressing days will never be forgotten no matter how we may try), Goldust, Festus, and the greatest of them all: Hornswoggle. Why do I say he's the greatest among them? His sheer commitment to the character as well as his total lack of restraint. That willingness to do anything on the simple grounds that he feels like it coupled with his minuscule size makes for a hilarious character.
I can understand peoples objections to the various ways he's embarrassing Chavo. My thought is, if they wanted to give Hornswoggle a real wrestling push as would seem to be the case, they should have used not just Chavo, but various other jobbers as well. Not simply have him win over Chavo in various situations, but maybe throw in The Brian Kendrick (that is if he hadn't been fired), Santino, or others.
To finish, and I know some will disagree, but I very much enjoy Mark Henry as a face, especially with a slightly silly side as we've been seeing, and watching him do a heel-click at the end of his match against Chavo in place of Hornswoggle was far too funny for words.