The correct response is:
Both time periods are part of prehistoric times.
The Paleolithic period (also known as the Old Stone Age) and the Neolithic period (New Stone Age) are both parts of human prehistory, marking different stages in the development of human cultures and societies. The other responses provided do not accurately reflect the characteristics of both time periods. For example, while clay pots were indeed important in the Neolithic period, they were not a feature of the Paleolithic period. Similarly, the creation of permanent homes is a hallmark of the Neolithic period, rather than the Paleolithic.