Underdevelopment causes hunger, disease, poverty, resource scarcity,environmental degradation, exploitation,exclusion,health problems,lower GDP, no education and lower standard of living to citizens of less developed countries.Around 3 billion people of this world are facing underdevelopment.
The nations with underdeveloped people/society supply cheap labour,and consumer markets for the wealthy nations ,without which,according to Dependency Theory, they could not have the higher standard of living they enjoy.eg big companies like Nike,Adidas,Coca Cola,Pepsi etc have their factories in poor countries to enjoy cheapest labour and many a times young children below 14 years,to work for them,so that they may enjoy higher profits.