Is Secessionism Mostly About Income or Identity? A Global Analysis of 3,003 Subnational Regions

20.500.12592/t2ccw3

Is Secessionism Mostly About Income or Identity? A Global Analysis of 3,003 Subnational Regions

1 Sep 2022

This paper analyzes whether the propensity to secede by subnational regions responds mostly to differences in income per capita or to distinct identities. We explore this question in a quantitative political economy model where people's willingness to finance a public good depends on their income and identity. Using high-resolution economic and linguistic data for the entire globe, we predict the propensity to secede of 3,003 subnational regions in 173 countries. We validate the model-based predictions with data on secessionist movements, state fragility, regional autonomy, and conflict, as well as with an application to the dissolution of the Soviet Union. Counterfactual analysis strongly suggests that identity trumps income in determining a region's propensity to secede. Removing identity differences reduces the average support for secession from 7.5% to 0.6% of the population.
political economy economic systems microeconomics other public economics international trade and investment development economics international economics law and economics economic fluctuations and growth welfare and collective choice subnational fiscal issues globalization and international relations

Authors

Klaus Desmet, Ignacio Ortuño-Ortín, Ömer Özak

Acknowledgements & Disclosure
We thank Angel Cuevas, Rubén Cuevas, and José González Cabañas for help with the Wikipedia data, and Ignacio Ortuño Ortín acknowledges financial support from the Spanish Ministry of Science, Innovation, and Universities (Project PID2019-109157RB-IOO). The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.
DOI
https://doi.org/10.3386/w30428
Published in
United States of America