When the first local government acts were implemented in Sweden in 1863 Dorotea parish was made a rural municipality.

[3] There is only one locality (or urban area) in Dorotea Municipality:[4] This is a demographic table based on Dorotea Municipality's electoral districts in the 2022 Swedish general election sourced from SVT's election platform, in turn taken from SCB official statistics.

Amongst the industries in the municipality is one of the biggest caravan manufacturers in Scandinavia, Polarvagnen, now known as SoliferPolar as it has merged with Solifer.

In early 2000 the company Spray was located here but then moved to Sollefteå.

The large house which held the support department and other personnel was later taken over by Datakompisen.