1) (From Reddit) There won't be any huge cities, just some good-sized towns, but it's not the size, but what you do with it.
2) Not at this time, but maybe.
3) Unknown, but probably, given how many things you can ask NPC's about. I saw 13 topics you could ask an NPC, and there could be a lot more.
4) No.
5) (Post-Destructoid Q&A)I think they said that they didn't think that ragdoll physics was worth spending time on, but they might be in the final version or in the editor. I'm not sure.
6) Unknown.