Holocene lake stages in the Faiyum depression commenced with a high lake stand during the 10th millennium BP, followed by an early Holocene lake from 8500 to 7000 bp. A pronounced recession and the development of a palaeosol preceded another rise to a mid-Holocene, high lake level from 6500 to 5100 BP. A major drop in level coincided with the late Neolithic and Early Dynastic. The Moeris lake witnessed by Herodotus is also documented. The drop in lake level during early Ptolemaic times marked the end of the freshwater lake and was apparently, in part, a result of declining Nile floods. Terminal Palaeolithic sites are associated with the early Holocene lake and Neolithic sites with the mid-Holocene phase. Prehistoric settlements were placed near lake-margin marshes and ponds. The richness of the lake margin in aquatic resources and its susceptibility to short-and long-term fluctuations is believed to have encouraged a para-agricultural economy. -- AATA