Political unrest refers to protests and other acts of public dissatisfaction. They can lead to economic disruptions, injuries, and loss of property. In addition, prolonged unrest can destabilize a country and trigger cycles of violence. In the case of severe unrest, governments may impose curfews and restrictions on travel to certain areas. The following tips can help you prepare for potential unrest:
In a study, IMF economists found that past turmoil and proximity to neighbouring countries are among the best predictors of future civil unrest. In fact, these two indicators are 10 times more informative than the most revealing of 340 economic and social variables.
A key driver of political unrest is economic inequality, which can create anger and dissatisfaction with government policies. This can be due to rising fuel or food prices, cuts in social welfare benefits, or other reforms that increase costs for the poor.
Moreover, economic inequality can also be driven by corruption. When people perceive that government officials are using their positions for personal gain, they become more prone to demonstrate and demand accountability.
However, the link between inequality and instability is complex. For example, the same research finds that benevolent government leaders who respond to an increase in inequality by cutting social welfare benefits or increasing taxes risk further provoking protests from more radical groups that have the same propensity to riot. The solution is to address the root causes of inequality and prevent the formation of homogenous groups that are more likely to riot.