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Settlement functions can be grouped into a number of categories, such as residential, recreational, retail, government, entertainment and industrial. Most settlements now are multi-functional. This means they perform a range of functions.

Settlements can be classified on basis of residence and main occupation into rural and urban. Settlements may also be classified on bases of their shape, pattern types into Compact or Nucleated settlements and Dispersed settlements.

The main functions of a settlement are: Market town ? where farmers will buy and sell their goods and materials. Mining town ? where minerals and fuel might be extracted. Industrial town ? where raw materials will be processed into manufactured products.

The generally accepted order of the hierarchy is: Isolated dwelling (>10 people) Hamlet (>100 people) Village (100-1,000 people) Small town (1,000-20,000 people) Large town (20,000-100,000 people) City (100,000-one million people) Large city or conurbation (<1,000,000 people)

Settlements can broadly be divided into two types ? rural and urban.

Settlement Types There are generally three types of settlements: compact, semi-compact, and dispersed. Each is based on its population density. Compact settlements have the highest density of population.

Depending on the size and the services available and functions rendered, urban centres are designated as town, city, million city, conurbation, megalopolis.

There are three main settlement patterns: nucleated, linear and dispersed.

The four main types of settlements are urban, rural, compact, and dispersed. Urban settlements are densely populated and are mostly non-agricultural. They are known as cities or metropolises and are the most populated type of settlement.

Rural settlement patterns refer to the shape of the settlement boundaries, which often involve an interaction with the surrounding landscape features. The most common patterns are linear, rectangular, circular or semi-circular, and triangular.