Dwarves Dwarves inhabit mountains, mines, and caves. A short race, usually a couple of feet shorter than humans, dwarves also live generally longer, perhaps twice as long. They tend to be less skilled in magic than humans, but are skilled fighters, inventors, and artisans. Most dwarves have beards, even dwarven women. This category includes an eclectic group of magical, partially spiritual, races.
Most fairies are small and keep themselves well hidden from the larger races.
Some are mischievous, some helpful, and some malevolent. They can lurk anywhere, forests, lakes, and even in a carrying sack. I believe the original Halflings were Tolkien's hobbits. In any case, you can find such small, human like people, in quite a bit of fantasy literature. Humans People like us, but born into a world of low technology, and high magic.