Income is derived from tourism and fishing, as well as retail and small industry. Until recently, Húsavík was the export harbor forsilica that was extracted from nearby lake Mývatn.
According to the Landnámabók ("Book of Settlement"), Húsavík was the first place in Iceland to be settled by a Norse man. The Swedish Viking Garðar Svavarsson stayed there for one winter around 870 A.D. The name of the town means "bay of houses" which probably refers to Garðar's homestead. Which have been the only houses then in Iceland
