“…Recent work has shown that in CEE countries, individuals' perceptions of macro‐economic indicators including income inequality do not move together with changes in the actual indicators (Kreidl, ; Loveless and Whitefield, ; Tverdova, ), and a substantial body of literature has established that perceptions affect individual behaviour (Kunda, ; Lodge and McGraw, ; Lupia et al ., ; Sniderman et al ., ; Tversky and Kahneman, ). Thus, as discussed by Loveless (), perceptions of the extent of inequality that individuals see are highly salient and potentially harmful to the function of democratic politics, and the examination of the concept of physical location (where one is rich or poor) is crucial to understand the formation of these perceptions. Variation in urbanity activates socio‐economic differences that affect the impact of income on perceptions.…”