Well, for the village in this fanfiction, there are several consequences. Firstly, there's the issue of security. They have to worry about the Kyuubi breaking free from Naruto. This means they might need to invest more in defenses. Socially, the presence of Naruto with the Kyuubi sealed in him can cause a rift. Some villagers might be more accepting, but others will always be fearful. Economically, they may have to spend resources on researching ways to better control the Kyuubi's power or to protect the village from any potential disasters related to the Kyuubi.
In the fanfiction, the village faces a number of consequences when the Kyuubi is sealed into baby Naruto. There's the obvious one of living in fear. The villagers know the power of the Kyuubi and the fact that it's now inside a child makes them nervous. This can lead to a negative attitude towards Naruto, which in turn can affect the village's unity. Also, they need to find a way to ensure that Naruto can control the Kyuubi's power. If they don't, the village could be in great danger. Additionally, they may face external threats who see Naruto as a weapon. They have to figure out how to protect Naruto while also protecting themselves from the Kyuubi's power.
One consequence could be that Naruto grows up with an even stronger connection to the Kyuubi's power from a very young age. This might make him a much more powerful ninja earlier on in his life.
Well, it likely had a huge impact on his growth. Since the Kyuubi was sealed into him as a baby, he was ostracized by the village. This led to his lonely childhood and made him strive hard for recognition. The Kyuubi's chakra also influenced his physical and mental development in various ways, like giving him extra strength and stamina at times, but also causing him to struggle with controlling his emotions as the Kyuubi's power sometimes flared up inside him.
Well, in fanfiction, the Naruto and Kyuubi fusion could lead to a change in how the ninja world views Naruto. He would be seen as an even greater threat or an even more powerful ally. For example, other villages might be more hesitant to engage in conflict with him. Also, his relationship with his friends could be affected. They might be in awe of his new power but also a bit worried about the Kyuubi's influence on him. And on a physical level, his appearance might change, perhaps taking on some of the Kyuubi's features, like his eyes or his hair color getting a more reddish tint.
One possible consequence is that the power balance in the ninja world is completely disrupted. With the Kyuubi's massive chakra and power running free, smaller villages might be constantly in fear of being attacked. Konoha, in particular, would have to find new ways to defend itself without relying on the fact that the Kyuubi is sealed within one of its shinobi.
One consequence could be that he leaves the village. He might go off on his own to find a new place where he feels accepted and can start anew.
One consequence could be that Naruto leaves the village. He might go on a journey alone, seeking a new purpose away from the place that has caused him so much pain. This would be a major change from his original story where he was so attached to the village.
Well, his relationship with the village could be affected. The villagers who were once afraid of the Kyuubi might be even more hesitant to accept Naruto now that he has the complete power. However, his closer friends like Sasuke and Sakura would stand by him. Sasuke might see Naruto as an even greater rival, but also a potential ally in protecting the village. And Sakura would be there to support Naruto both emotionally and in battle if needed.
One consequence could be a huge power boost. Naruto would become extremely strong, which might change the power balance in the fanfiction world. Enemies would be more cautious of him, and allies might rely on him more. Another consequence could be the internal struggle. The Kyuubi has its own will, so Naruto might have to constantly fight to maintain control when it's summoned.
The village might experience a huge boost in morale. Naruto killing Pain would be seen as a major victory, and the villagers would feel safer. They would look at Naruto as an even greater hero, which could lead to more trust and unity within the village.
There could be a big divide within the village. Some villagers might feel guilty and try to make amends, while others might be defensive. This could lead to internal conflict. The village elders might also have to take steps to reform the village's social structure to prevent such abuse from happening again.