The phenomena known as "drift to the cities" is one which is frequently quoted in relation to problems facing rural industries. Arguments often take the form that this redistribution of population is depleting the rural industry labour force and as such is detrimental to the economy. The cause given or implied, in many cases, is the lack of amenities in the country; the general dullness of farm life in comparison with the life of the city. But while there are many important problems to be faced in relation to income, employment, education and amenities in rural areas, such arguments tend to emphasise symptoms and obscure causes. The purpose of this article is to analyse in a general way some of the fundamental issues involved in the distribution of the working population of a country, with particular reference to Australia.