During 'The Troubles' in Northern Ireland the UK spent a huge amount on subsidies to all sorts of activity, including the non-state security sector. I cannot now recall the unemplyment figures, but IIRC there was at the start in 1969 higher unemployment in the Catholic / Republican ghettoes than Protestant or Loyalist areas.

Eventually one fix that appeared to work was state funding of "community projects" and an "army" of community workers. I have little doubt this meant funding paramilitaries at times, but as both "sides" had their 'snout in the trough" few complained.

The "projects" often involved IIRC sports halls and other facilities, which were rarely inter-communal.

I am sure there are learned articles on this factor, none on my radar.

Today in the UK the impact of unemployment upon radicalisation is sometimes debated in public, although IIRC those who are radicalised and are caught in acts of violence are more often employed. My own opinion is that high unemployment may contribute, making it easier for an individual to believe he is worthless and only the 'cause' provides an answer. In one area often the focus of CT and non-CT responses nearly two years ago youth unemployment was 55%; allowing for changes since then and the UK practice of fiddling the figures I would not be surprised if was 75%. Weirdly the local buoyant economic factor is drug dealing.