Political violence and extreme polarization are symptoms of deeper economic anxieties. When people feel economically insecure, they retreat into tribal identities and become susceptible to narratives of anger, which can escalate into violence.

Social and political chaos are symptoms of a foundational economic decay. When the work-to-reward feedback loop breaks—evidenced by housing becoming unaffordable—people lose faith in the system itself and become open to radical alternatives because they feel they have nothing left to lose.

The current environment mirrors the late 19th century's first wave of globalization. Then, as now, rapid technological change concentrated wealth, fueling populism and nationalism that ultimately led to global conflict in 1914. We risk 'sleepwalking' into a similar catastrophe.

Extreme wealth inequality creates a fundamental risk beyond social unrest. When the most powerful citizens extricate themselves from public systems—schools, security, healthcare, transport—they lose empathy and any incentive to invest in the nation's core infrastructure. This decay of shared experience and investment leads to societal fragility.

The inability for young people to afford assets like housing creates massive inequality and fear. This economic desperation makes them susceptible to populist leaders who redirect their anger towards political opponents, ultimately sparking violence.

The ability to print money creates inflation that widens the wealth gap. This hyper-inequality triggers a deep-seated, evolutionary psychological response against unfairness, which then manifests as widespread social unrest and societal breakdown.

Historically, countries crossing a 130% debt-to-GDP ratio experience revolution or collapse. As the U.S. approaches this threshold (currently 122%), its massive debt forces zero-sum political fights over a shrinking pie, directly fueling the social unrest and polarization seen today.

Historically, what tears societies apart is not economic depression itself but runaway wealth inequality. A major bubble bursting would dramatically widen the gap between asset holders and everyone else, fueling the populist anger and political violence that directly leads to civil unrest.

The root of rising civil unrest and anti-immigrant sentiment is often economic insecurity, not just a clash of cultures. People convert financial anxiety into anger, which is then easily directed at visible, culturally different groups, creating flashpoints that can escalate into violence.