• Skip to main content
  • Skip to secondary menu
  • Skip to primary sidebar
  • Skip to footer
Dinks Finance

Dinks Finance

Personal Finance By and For Couples

  • Facebook
  • Pinterest
  • RSS
  • Twitter
  • Smart or Selfish
  • Couples Finance
  • Make Extra Money
  • Build Wealth
  • Blogroll
  • About

The Costs of Riots

January 6, 2021 by James Hendrickson 1 Comment

The Costs of Riots

Editors note: In light of the protesting today at the US capitol building – this article is being republished. 

Unless you’ve been away from the internet in the arctic, you’re probably aware of recent events following the killing of George Floyd in Minneapolis. The country has been gripped by the largest wave of civil disorder since 1968. The costs of riots are substantial. Past riots have cost between $50 and $446 million with scores dead. But, there is a way to protect yourself.

The Costs of Riots

While the politics surrounding the killing of George Floyd are beyond the scope of this article, rioting is hugely expensive from a fiscal standpoint. To put this week’s recent events in context, here are some historical costs (not adjusted for inflation).

1965 Watts Riots: $40 Million in property damage, 1,000 buildings destructed, 34 deaths, 1,032 injuries, and 4,000 arrests.

1980 Miami Riot: $50 Million in property damage, 18 deaths, 400 injured, and 1,300 arrests.

1992 Los Angeles Riots: $446 Million in property damage, 1,120 buildings damaged, (377 completely destroyed) 52 deaths, 2,500 injuries, and 6,559 arrests.

Source: The L.A. Riots And The Economics of Urban Unrest. DiPasquale and Glaeser, 1996.

The Long Term Costs of Riots

The figures above are direct, but the costs of riots are also measured in the indirect economic long term. Riots lower real estate prices in the long term and can have a titanic impact on lost sales. One estimate suggests the 1992 Los Angeles riots cost $5 billion in lost business over 10 years.

How Can You Limit Riot Risk For Your Personal Finance?

Riots illustrate the value of geographic diversification. Rioting is more common in urban areas with high relative unemployment, and it is less common in the U.S. south. So if you’re holding regional companies or real estate in a specific urban area, consider diversifying your assets out of the area. While insurance may cover some of your losses, you’re almost always better off having your assets not impacted at all.

For more great articles from the DINKs, read these:

Building Wealth on $600 Per Month

What Is the FIRE Movement And Will It Survive The Pandemic?

Ten Factors Affecting Wealth

Filed Under: Conflict Tagged With: Money mistakes, the costs of riots

Reader Interactions

Comments

  1. Charles says

    January 7, 2021 at 7:41 pm

    Could you do a post about the cost of racial inequality and financial impact of that?

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

Join Our Newsletter
  Thank you for Signing Up
Please correct the marked field(s) below.

1,true,6,Contact Email,21,false,1,First Name,21,false,1,Last Name,2


 

 

Couples Finance

  • What Dave Ramsey’s Take On marriage Is Missing
  • Tips For Newly Married Couples
  • Getting Together, Getting Hitched
  • Prenup Basics
  • Manage Your Money Together

Great Finance Blogs

  • My Stock Market Basics
  • Cafe Credit
  • Clever Dude
  • Modest Money
  • Mighty Bargain Hunter
  • Frugal Rules
  • Young Adult Money
  • Money Talks News
  • Saving Advice
  • Peer Finance 101
  >> Our *entire* blogroll

Companies Supporting The DINKS

Please consider visiting our gracious supporters:



Great Investing: Get Stock Advisor for Just $99/year

7binaryoptions.com: Your one stop information source for trading binary options.

My Dissertations  Hire an outstanding PhD editor and graduate today!

Myhomeworkdone.com provides homework help any time of the day, 24/7!

123 Term Papers works hard to deliver you a great term paper!

Get the Latest Coupon and Discount Codes at Freecouponcodes.net.

Shop and save on retro modern furniture at EMFURN. Daily deals and free shipping!

The best cheap web traffic that comes in handy for your website traffic needs.

Shop till you drop and discounted offers with Shopee promo codes.

Compare business electricity prices at utilitysavingexpert.com

cheap shopping online at DHgate.com

Footer

Get Started

  • Make Money As An Amateur Photographer
  • The Pros and Cons Of Mutual Funds
  • Building Wealth On $600 A Month
  • Yes, You can Buy An Oil Well
  • Kimball Musk’s Net Worth
  • Nine Ways To Make Extra Money

Explore

  • Home
  • About Us
  • Contact Us
  • Facebook
  • Pinterest
  • RSS
  • Twitter

COPYRIGHT © 2020 Dual Income No Kids DinksFinance.com is a District Media site.