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Divided into 3 

isolated settlements:  one or two houses
                                seen in broad agricultural fields

hamlet                   :   some houses
                                 have small shops post office etc

villages                  :  many houses
                                develop in places where local roads meet
                                 public buildings shops places of worship etc

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In rural settlements most of the people are engaged in fishing,foresty etc.These activities are called primary activities because the products are derived from nature.Villages are examples of rural settlements.