Wikipedia's actually pretty good on this one.

Apparently it started in Washington D.C. from the hardcore scene. Many Emo bands, like Dashboard Confessional and Jimmy Eat World cite Fugazi as a major influence, though Fugazi themselves aren't considered emo.

So it's basically like a popularized, fashionable version of hardcore. More of a fashion statement than a way of life.
Source(s):
http://en.wikipedia.org/wiki/Emo
http://encyclopediadramatica.com/Emo


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