How can rapid economic change increase the risk of ethnic conflict?

Rapid economic change can significantly increase the risk of ethnic conflict by destabilizing existing social and political structures, which may lack the capacity to adapt to sudden shifts.1

When economies undergo fast transitions—such as moving from centrally planned systems to market-based ones—they often trigger rapid urbanization and domestic migration. These societal changes can create intense competition among ethnic groups for resources and opportunities. Furthermore, such periods of transition frequently raise public expectations for economic and political gains; when these hopes are not realized, the resulting frustration can serve as a potent source of instability and resentment.1

Ultimately, these "bad domestic problems," as described by scholars, exacerbate tensions by creating an environment where political and social institutions struggle to maintain order, often leading to the mobilization of ethnic groups along competitive or exclusionary lines. It is essential to recognize that such conflicts cause profound human suffering, and the protection of human rights must remain a fundamental priority in any economic development process to prevent the escalation of violence.1234