Newly industrialized country

A newly industrialized country, often called a NIC, NIE, or middle-income country, is a group of countries that have grown very quickly. These countries are usually developing nations, but they have started to grow faster than others. This fast growth changes many parts of their societies.

Because of this growth, more people move to cities to find jobs. This movement from the countryside to cities is called urbanization. Economists and political scientists use this term to help understand how some countries develop faster than others. It shows how changes in industry and society can shape a country's future.

Definition

NICs are countries that are growing quickly but are not yet fully developed. They are still considered developing nations, but they grow faster than others. These countries often focus on selling goods to other countries to help their economies grow. Another sign of an NIC is that they are starting or continuing to build more factories and industries.

Characteristics of newly industrialized countries

Newly industrialized countries help make a nation’s social and economic conditions better. People in these countries often have better living conditions and lifestyles.

These countries also usually develop stronger government systems, including democracy, fair laws, and less corruption. Residents typically have access to better transportation, electricity, clean water, and healthier communities compared to other developing nations.

Historical context

The term "newly industrialized country" started being used around 1970. This was when four places—Taiwan, Singapore, Hong Kong, and South Korea—became very successful in science, technology, and growing their economies. These four places grew quickly from the 1960s onward and are now known as the Four Asian Tigers. They are wealthy, high-tech countries like Canada, Japan, and the United States.

Today, these countries are considered wealthy and developed by groups like the World Bank and the International Monetary Fund. They have high quality of life scores, just like many countries in Western Europe.

Current

The table below shows countries that are thought to be newly industrialized, based on what different experts say. Turkey and South Africa were listed as developed countries in 2008 by the CIA World Factbook. Turkey joined the OECD in 1961, and Mexico joined later in 1994. The G8+5 group has the original G8 countries plus China, India, Mexico, South Africa, and Brazil. The G20 has members such as Brazil, China, India, Indonesia, Mexico, South Africa, and Turkey.

For very large countries like China and India, each with over 1.4 billion people, their income for each person stays lower even if their whole economy grows a lot. When looking at income using purchasing power parity (PPP), it looks at the lower costs of living in these countries. Brazil, China, India, Mexico, and South Africa meet with G8 countries to discuss money matters and climate change because of their important roles in the world economy and environment.

Other

Different experts might name different countries as newly industrialized, depending on how they measure it. This can include countries such as Brunei, Mongolia, and Vietnam.

Criticism

Newly industrialized countries often have lower wages. This helps them make products more cheaply. Factories in these countries can produce more and sell goods for lower prices than factories in wealthier countries. Some people who support fair trade criticize this. They think it may not always be fair to workers in these countries.

Problems

South Africa is richer than many other countries, but many people still live in poverty and have trouble finding jobs. More than a third of the population is unemployed and poor.

Many newly industrialized countries face similar problems. They often have corruption and political issues that make it hard for their economies to grow. These problems can slow down progress and trap countries in what is called the middle income trap.