It depends. Apparently, some Swedish guy had a book of art that mixed modern day/yesteryear small town/farm town images with elements of science fiction. Some dude got a hold of the book and wrote stories to the art, got the Swedish guy's permission, and voila! We have a TV show.
It's science fiction, but more often than not the episodes are more modern day drama with a little futuristic scifi in the background. Some of the episodes are sad. I keep watching to see if the events of episode 2 will be resolved (because what happened in episode 2 pissed me off, lol), and they keep touching on the effects that the events of episode 2 had on the characters, with a few side stories thrown into the mix. It's interesting.