Reykjavík <<RAY kyuh VEEK >> is the capital and largest city of Iceland. It is a seaport on the southwest coast, at the head of a large bay. The city is Iceland’s trading center and its center of government and education. It has many schools, a university, an observatory, a theater, a national museum, and a national library.
Water from nearby hot springs is used to heat buildings and homes in Reykjavík. The hot springs are also used to generate electricity for the area.
The Reykjavík area was first settled in A.D. 877. However, it remained thinly populated for hundreds of years. In the 1700′s, Skúli Magnússon built several workshops in Reykjavík, and more people began to settle in the village. When Iceland gained independence in 1944, Reykjavík became the country’s capital.