Once you have those flame seed thingies then go to the guy who is trying to do something or other but can't see because his torches aren't lit.
Then use the seeds on the torches he'll give you an encyclopedia of some sort. Then go NORTH of the town and keep going up until you see a house. Then go in.
Talk to the girl inside the house and she'll give you an egg (ONLY IF YOU HAVE THE ENCYCLOPEDIA). Then look for that witch who always knocks you over, LET HER! Then she will give you some "Spooky Doll".
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