Domestic industry development had been transformed from agricultural to manufacturing and service. Followed by the urban growth, the structure of regional industries change or adjust. In the present study, regional economic theory and economic-based analysis method are explained first. Then population and employment multiplier of urban and rural in Taiwan are analyzed by econometric method which is based on the study of the differences between Urban and Rural in Taiwan by Teng (2002). The results show that the basic industries of urban and rural changed according to the characteristics, the development and position. In addition, basic industries are the key of economic forces, because the expansion of basic industries provides non-basic industries a growth footstall, and push the overall growth of employment.