Answer:
The answers are: small-town; the neighbors.
Step-by-step explanation:
The reason "small-town" is the correct option is because, in this case, it is an adjective that describes the residents. Therefore, it needs to be a compound word, which is two words joined together by a hyphen. And "the neighbors" is the correct answer because in this example "everyone" is a singular prnoun and cannot be used with "their" as that is a possessive adjective used for a plural. Hence, a specific afticle like "the" is a better match and gramatically correct.