In: Economics
What are the economic, political, or social ramifications of this disaster (In Re Union Carbide Corp. Gas Plant Disaster at Bhopal) ?
Do you think It could affect the demand for Union Carbide products?
Economical Ramification: People will be more cautious while using Union Carbide. After knowing that this gas can be so deadly they will look for other options which don't cause such widespread loss of the human resources even if it means using an alternative which is more costlier but safer. The economic cost of the disaster was very high on the human resources and even to this date, it results in 2 or 3 death related to the accident.
Social Ramification: It caused 3000 immediate death and 15,000 more death in coming weeks and months. There are several diseases still prevalent in Bhopal which can be directly attributed to the deadly accident.
Political Ramification: Political ramification was so large that even to this day Indian government is ultra-cautious about allowing any foreign company to operate a business in India which could lead to such disaster. an example is a Nuclear industry, the US is now struggling from past 10 years to get a permit to build a nuclear plant in India even after signing a Nuclear deal. The background of this disaster can be clearly seen in the laws made after this accident in areas which involve foreign technology at a large scale which can pose any kind of risk at such a level.
No, the demand for the Union Carbide has not come down at all. It is present in the paper towel we use to teddy bears in our home to Airplanes.