You can use this option to style your form and make it look more dynamic. This option appears when you select a field, in the Edit Field panel. You have four options to choose from in the dropdown list, as follows:
If you select the Shown option, the labels are displayed normally.
If you select Hidden, the label will be invisible on the form, but the space it takes up will be preserved.
The inside the field option will place the label text inside the input area. Once the user starts typing in the input box, the label text will disappear.
If you do not want to keep the space, simply select the fourth option available, Removed. Here is an example with all fields set with the current option: