Goblin:

This is a general name for an ugly, evil-tempered spirit that likes to cause trouble for humans. They wear tattered clothes. The gnome's cousin, the hobgoblin, usually live in human homes, and are kind to people, rather than mean.

Hobgoblin:

They have a bad reputation since the Puritans used their name to refer to wicked Goblin spirits, but they're really a sort of friendly Brownie. They are helpful at times, but like practical jokes. But don't annoy them or they can become nasty.
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http://astarlite.com/heathfieldcastle/GoblinBW.jpg
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Goblin:
Goblins are a different, more grotesque variety of gnomes. They are known to be playful, but at other time they are evil and their tricks could seriously harm people. A goblin smile curdles the blood and a laugh sours the milk and causes fruit to fall from the trees. They pester humans in a number of ways, such as hiding small objects, tipping over pails of milk and altering signposts.

Goblins originated in France and spread rapidly all over Europe. They have no homes and usually live in mossy clefts in rocks and roots of ancient trees, although they never stay very long in the same place. The name 'hobgoblin' is thought to be an abbreviation of 'Robin Goblin', the name Druids gave to the first goblins when they entered Britain.
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Hobgoblin began a variant of a Goblin in name, however later it became known as an entire different creature. This was in a big part due to shakespear and his popularization of "Puck".. Puck is probably the most famous hobgoblin. "Hob" also means "elf" so a hobgoblin became thought to be a an elf-goblin. They are less ugly, larger and more cunning than goblins. Sort of like the next evolution so to speak.

The green goblin from Spider Man is also a hobgoblin hence his more human form.

http://images.epilogue.net/users/mercuralis/Hobgoblin.jpg
Source(s):
http://www.pantheon.org/articles/g/goblin.html
http://dictionary.reference.com/browse/hobgoblin

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A goblin is a legendary, evil, crabby, and mischievous creature described as a grotesquely disfigured or gnome-like phantom.

Hobgoblin is a term typically applied in folktales to describe a friendly but troublesome creature of the Seelie court.
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