There is a range of main consequences that I am going to examine in this essay; they are all a result of the rise of manufacturing industries in NIC's.
The rise of manufacturing industries in NIC's can have a sever effect on the environment. Due to there being a rise in manufacturing industries there is going to many more factories in the country. This means that the levels of air pollution produced are going to be significantly increased for example Taipei and Taiwan. Also with there being better transport links the pollution levels will also rise from this. This pollution not only has an effect on the environment but it can also become a health risk. Also there are a number of factories that willingly discharge toxic waste into rivers and into landfill sites, this can contaminate food chains and soils. This being another health risk to humans, and also to the environment and wildlife. These are all consequences of an uncontrolled industrial growth.
A rise of manufacturing industries can have an effect on the employment structure in MEDC’s, when companies see the cheap labour in these countries they will situate in the NIC’s talking jobs away from the MEDC’s leaving a trail of unemployment in the original country of production, because they can make more profit in the NIC’s. Also in NIC’s there are less safety issues and regulations so a company can save money and time with safety checks etc. this can cause more accidents and injuries in the work place.
The rise in manufacturing in NIC’s increases competition for land, which raises land prices, this in turn may force the poorer citizens of the country to live on the street because they will not be able to afford a house. With a shift in labour force to the manufacturing industry, especially the younger generation, there will be few people working in agricultural industry; therefore there is a drop in production so less food will be grown for the families to life off of. This eventually leads to the increasing growth of rural unemployment in the country.
For rural areas it creates social imbalance between wealthy industrial minority or commercial workers and the rest of the population. There is a population change due to age selective migration to urban areas to find work; this leads to an imbalance in the rural area with the older generation having no one to look after them when they reach old age. With the new manufacturing industries appearing and the generation shifting to work in these industries the country may loose its traditional values and lifestyles. The population in rural areas will have an increased dependence on the remittances from the urban workers.
The consequences for urban areas are that in-migration leads to rapid development of shanty towns, increased birth rates and population growth, with the large amount of people migrating to the urban areas there is a concentration of unemployed and poor people in shanty towns, with a large amount of people living in such poor and dirty conditions there is an increase in diseases. There are high rates of crime and illiteracy in the poor housing areas. Also the people who do manage to get a job have to work in unsatisfactory working conditions (sweatshops), and have to work long hours.
Most of the profits go overseas so the country does not receive a large amount of profit for the industries being situated there. Large schemes can increase national debt for example Brazil. The raw materials are usually exported rather than manufactured locally and the energy costs may lead to a national debt.