Which of the following was an adverse consequence of economic globalization in the late twentieth century?

Which of the following was an adverse consequence of economic globalization in the late twentieth century?

• A. Recurrent boundary conflicts between Latin American nations.
• B. Periodic famine in the nations of Sub-Saharan Africa.
• C. Reduction in the size of the middle class in India and China.
• D. Increased rates of child labor in Southeast Asia.

Answer: (D)

Global production networks and outsourcing in the late twentieth century tied many economies into a single, highly cost-focused market. Firms moved labor-intensive work to Southeast Asia where wages were lower and enforcement of labor standards could be weaker, creating pressure on families to rely on every possible source of income. In such environments, children may be drawn into work to help meet basic needs, which can disrupt education and health and limit future opportunities. This pattern—where global demand for cheap, flexible labor contributes to higher child labor in developing regions—illustrates an adverse consequence of economic globalization. While globalization also spurred growth and poverty reduction in some places, its labor-market effects in certain contexts contributed to increases in child labor, particularly in Southeast Asia's manufacturing sectors.

Global production networks and outsourcing in the late twentieth century tied many economies into a single, highly cost-focused market. Firms moved labor-intensive work to Southeast Asia where wages were lower and enforcement of labor standards could be weaker, creating pressure on families to rely on every possible source of income. In such environments, children may be drawn into work to help meet basic needs, which can disrupt education and health and limit future opportunities. This pattern—where global demand for cheap, flexible labor contributes to higher child labor in developing regions—illustrates an adverse consequence of economic globalization. While globalization also spurred growth and poverty reduction in some places, its labor-market effects in certain contexts contributed to increases in child labor, particularly in Southeast Asia's manufacturing sectors.