I remember seeing this movie in the early 90s. I believe the main character was a man in his 30s and he lived in a town that looked lime something out of a childrens show. The only part I really remember was there was a woman who always drove her car backwards because it was the best place to see where she had been.
Smoke Signal? A lady drives backwards. lol
http://youtu.be/vQhviwp8j38
The Truman Show?
The Stupids?
Mother Goose Rock and Rhyme?