What is a possible consequence of unequal wealth distribution in an economy?

Unequal wealth distribution in an economy often leads to social unrest as individuals and groups begin to feel disenfranchised or marginalized. When wealth is concentrated in the hands of a small percentage of the population, those with less financial means may struggle to meet their basic needs, leading to frustration and discontent. This unrest can manifest in various forms, such as protests, strikes, or riots, as people seek to draw attention to economic disparities and demand changes.

The feeling of inequality can breed a sense of injustice, contributing to tensions between different socio-economic groups. As disparities heighten, so does the potential for conflict, as individuals may feel that their opportunities for advancement are limited by systemic barriers. This social dynamic can impede overall societal cohesion and can drive calls for policy changes aimed at wealth redistribution or social equity initiatives to address the underlying issues.

The other options do not reflect the typical consequences of unequal wealth distribution. For example, increased economic mobility is more commonly associated with a more equitable distribution of wealth, while enhanced overall consumption would require a broader base of wealth within the population to drive demand. Greater market efficiency tends to occur in more equitable economies where consumers have the purchasing power to engage in the market effectively.