Volendam is located south of Edam, at the mouth of the peat river Ye. When Edam got a new connection with the Zuiderzee via the Oorgat shortly after 1357, the old harbor mouth in the mouth of the Ye could be closed. The dam in the Ye was completed in 1450. A few fishermen and farmers settled around the dam, which started the history of Volendam (‘Vollendam’). The village grew into one of the most important fishing towns on the former Zuiderzee and in the 19th and 20th century into a tourist attraction. Due to the closure of the Zuiderzee in 1932, the fishing industry lost importance. Industry, construction, water sports and tourism are the main sources of livelihood today.