Deindustrialization is a procedure in which the manufacturing industry in a nation is abandoned as a result of a social change in economic.
Also, it’s a transformation from been a production or manufacturing nation to services nation. The core features of deindustrialization is manufacturing has a moderate percentage of total employment in that country, Manufacturing decreases because of the rate of outside trade, and Deindustrialization creates Low employment rates which is a serious concern for low educated or illiterate citizen of a nation because it will increase the prospect of poverty and social isolation, that will further damage the income of low-income groups and in process worsening or create more gap of income inequalities . deindustrialization normally comes to pass due to specific manufacturing industry is no longer economically reasonable.
Globalization of markets prompted deindustrialization in developed nations which encourages the developing countries to trade with the developed countries and sell their product to them at a cheaper rate than the product produced by their own country. This will usually paralyze the developed country production because the manufacturers can no longer compete with the developing countries. Also, when a country goes through the period of being an industrial country at a point and in the process become wealth, the emphasis of the country may shift from being an industrialized country to Services providing country. The jobs the locals in the developed country relied upon will be taking away from them by the developing countries which will make it difficult for the works to achieve social mobility and the focus of the company may shift from production to services and all the low educated works would be laid off and retain few of the educated works that will be able to work in services sector.However, Deindustrialization creates negative effects for the lower and working class people because whenever manufacturing company closes down, there are clear consequences because company around that environment are usually the source of the economy. Poverty, Lack of quality education for the locals, Job insecurity, Migration, and infrastructures fall into deterioration because of the lack of tax money from the past businesses.
