Share of the world's population living in urban or rural areas 1960-2023
2007 marked the first year where more of the world's population lived in an urban setting than a rural setting. In 1960, roughly a third of the world lived in an urban setting; it is expected that this figure will reach two thirds by 2050. Urbanization is a fairly new phenomenon; for the vast majority of human history, fewer than five percent of the world lived in urban areas, due to the dependency on subsistence agriculture. Advancements in agricultural practices and technology then coincided with the beginning of the industrial revolution in Europe in the late 19th century, which resulted in waves of urbanization to meet the demands of emerging manufacturing industries. This trend was replicated across the rest of the world as it industrialized over the following two centuries, and the most significant increase coincided with the industrialization of the most populous countries in Asia. In more developed economies, urbanization remains high even as economies de-industrialize, due to a variety of factors such as housing availability, labor demands in service industries, and social trends.
