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The Atacama desert is the driest desert on earth. Amazingly, there are over 1 million people living there. Being that they get about 1 millimeter of rain a year if any, most of the people there live off fog.

Expanded and Improved Answer:

Most of the population-dense areas are on the coast line with few settlements in the interior with the exception of some mining towns. Water is either piped in or arrives by aqueduct. In really isolated areas water is brought in by trucks. A few smaller towns have established equipment to harvest some water from fog that is common in some areas.

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