How can I edit the image to be cropped or resized so it matches the layout for the Blog Small Image?
Attached files: Capture.PNG
With this blog template, the images are resized to fill the entire column. Your post excerpts are short and images have portrait orientation - as result the images are too big and there is large empty space below post content.
The image aspect ratio you are using is not suitable - our advice is to use images with landscape orientation/aspect ratio.
See our demo example:
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Have a nice weekend,