In assessing impacts of rural industrial development, it is important to include not only economic impacts but the interface between organizational, political, and behavioral aspects with economic aspects. Though effects depend on a variety of economic and institutional circumstances, several observations can be made about how new manufacturing industry affects not only rural area economies but also social and political systems. Many of the employment and income benefits to local residents "leak" out to surrounding regions, reducing cost effectiveness in terms of raising incomes of local people, decreasing poverty, reducing unemployment, and improving income distribution. Over the long term, industrialization can cause loss of social cohesion, depersonalization of human relations, and replacement of the family as a primary functional social unit. Local communities may lose local autonomy, especially when absentee-owned branch plants are involved, influencing community capacity to upgrade human resources (schools, services, cultural amenities) and improve citizens' economic opportunities. Possible alternatives to traditional industrialization may be home- or community-owned ventures, enterprises employing hard-core unemployed, or sharing of industrial park and utility investment costs among local government units to cover benefit leakages. (RS)