This is a version of Hangman I made to demonstrate the use of strings, lists and costumes in Scratch. In many programming languages, Hangman is easy to implement, but in Scratch it's fairly complex, in part because there isn't a direct way to write on the Stage and the string handling needs some workarounds. If you want to reuse the bits for writing on the Stage, see my other project Ch10: Ransom Writer, which extracts them for you.
This is an example from the book Scratch Programming in Easy Steps by Sean McManus. More info here: http://www.sean.co.uk/books/scratch-programming-in-easy-steps/index.shtm