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Local wealth inequality linked to political protests across the Global South

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  • Wei, Zhiwu
  • Luca, Davide
  • Lee, Neil
  • Rodríguez-Pose, Andrés

Abstract

The political consequences of inequality have become a matter of mounting concern. Relative deprivation theory posits that frustration arising from comparisons with proximate reference groups can fuel protests. Yet research has concentrated overwhelmingly on the Global North, notwithstanding the acute wealth disparities experienced by the majority of the world’s population in the Global South. To address this gap, we assemble novel, fine-grained estimates of relative wealth at the 2.4 km × 2.4 km grid level to derive measures of local wealth inequality, which we link to over 645,000 georeferenced protest events recorded from 2014 to 2018. Exploiting variation within subnational regions, we document a robust, positive association between local wealth inequality and protest incidence. We show that the inequality–protest relationship is anchored in individuals’ immediate surroundings. As the spatial radius defining ‘local’ expands, the association weakens, highlighting the primacy of experienced inequality. We also find that the inequality-protest link is mediated by national characteristics. The study advances the social sciences by furnishing novel empirical evidence on the micro-geographic underpinnings of political instability, demonstrating that inequality’s political effects hinge on proximity, local class structure and national institutional environment.

Suggested Citation

  • Wei, Zhiwu & Luca, Davide & Lee, Neil & Rodríguez-Pose, Andrés, 2026. "Local wealth inequality linked to political protests across the Global South," LSE Research Online Documents on Economics 137937, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:137937
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    File URL: https://researchonline.lse.ac.uk/id/eprint/137937/
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    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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