What special things do people wear on day of the dead?

Answer 1

There is no special dressing for such day, at least when traditional celebrations are concerned.

During the last couple of years however, it has become a common occurrence for many kids and young adults to dress as a skeleton or any other monster, as Halloween parties have slowly been adopted as a new tradition from the part of Mexican people. The most common is the skeleton, rendering tribute to the Calavera Catrina (Elegant Skull), a character painted by Mexican cartoonist Jose Guadalupe Posada (1852 - 1913). It depicts a skeleton dressed with clothes worn by the Mexican upper class from a century ago. Such character is so embedded in Mexican Culture that it has become the most representative symbol of the Day of the Dead celebration.

See the related links section for examples on the Catrina, as well as these skull costumes and makeup.