Food prices and political instability
Food and commodity prices continue to soar, exacerbated by the war in Ukraine. Historically, rapidly rising food prices have led to political instability in emerging markets. Analysts have even established a connection between food price surges and the Arab Spring anti-government protests that started in Egypt in 2010.
Commodity price shocks can therefore cause political violence and our chart below appears to back that theory. It shows a correlation between global food prices and fatalities from terrorism.