Wherein the little dolls, etc., dance? (7)
I believe the answer is:
toyshop
'wherein the little dolls' is the definition.
I can't tell whether this defines the answer.
'etc dance?' is the wordplay.
'etc' becomes 'toys' (I am not sure about this - if you are sure you should give a lot more credence to this answer).
'dance?' becomes 'hop' (hop is a kind of dance).
'toys'+'hop'='TOYSHOP'
Can you help me to learn more?
(Other definitions for toyshop that I've seen before include "outlet for childish desires?" , "store for kids" , "Source of amusements" , "Where to buy playthings" , "Retail outlet for kids" .)