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The report argues that while vertical economic inequality is at an all-time high globally, horizontal inequality (inequality between groups) has declined significantly over the last 30 years. It finds that horizontal inequalities—particularly economic and political disparities affecting deprived groups—are stronger predictors of armed conflict than vertical inequalities. The authors emphasize that perceived inequality often diverges from objective data and is a critical driver of violence. While political institutional reforms and territorial autonomy show some success in preventing or ending conflict, economic policies have a mixed record. The report concludes with a call for better data on perceptions and a more rigorous analysis of policy outcomes.