Advanced Search
MyIDEAS: Login to save this article or follow this journal

Business Cycles Association in a Small Monetary Union: The Case of Switzerland

Contents:

Author Info

  • Alexandra Ferreira-Lopes
  • Tiago Neves Sequeira

Abstract

With its German, French, Italian, and Romansch Cantons, the Helvetic Federation is a small-scale version of the cultural, social, religious, and linguistic heterogeneities found in the European Union (EU). Although it is an interesting case study for observing the effects of idiosyncratic shocks within regional economies, few studies have been conducted that address Switzerland and the lessons it might hold for the EU, especially for the members of the European Monetary Union (EMU). We study the connections between the business cycles of Swiss regions. Evidence shows that Swiss cantons are closely related but there are dynamic effects toward more ‘independent’ business cycles. Despite the economic and cultural heterogeneity, Swiss cantons remain in the same political and monetary union, sharing a common central bank and a coordination/equalization mechanism for managing independent fiscal policies. Switzerland's ability to do these things should be a matter of interest to the EU. avec ses cantons de langue allemande, française, italienne et romanche, la Confédération helvétique est une version à petite échelle de l'hétérogénéité culturelle, sociale, religieuse et linguistique, qui caractérise l'Union européenne (UE). Bien qu'il s'agisse d'une étude de cas intéressante, pour l'observation des effets des chocs caractéristiques au sein des économies régionales, bien peu d’études se sont penchées sur la Suisse et les enseignements que l'on pourrait en tirer, notamment pour les membres de l'Union monétaire européenne (UME). Nous étudions les rapports entre les cycles commerciaux des régions suisses, et nous démontrons que bien que les cantons suisses présentent des rapports étroits entre eux, on relève des effets dynamiques visant à des cycles commerciaux plus ‘indépendants’. En dépit de leur hétérogénéité économique et culturelle, les cantons suisses appartiennent toujours à la même union politique et monétaire, avec une banque centrale commune et un mécanisme de coordination/égalisation assurant l'administration de leurs politiques fiscales autonomes. La façon dont la Suisse parvient à faire tout ceci devrait être susciter un certain intérêt pour l'UE. RESUMEN Con sus cantones alemanes, franceses, italianos y romanches, la Federación Helvética es una versión a pequeña escala de la heterogeneidad cultural, social, religiosa y lingüística que se puede ver en la Unión Europea (UE). Aunque es un estudio de caso interesante para observar los efectos de los choques idiosincráticos dentro de las economías regionales, se han conducido pocos estudios que tomen a Suiza como ejemplo y las lecciones que pudiera dar a la UE, especialmente para los miembros de la Unión Monetaria Europea (UME). Estudiamos la conexión entre los ciclos económicos de las regiones suizas. La evidencia demuestra que los cantones suizos tiene una estrecha relación entre sí, pero existen efectos dinámicos hacia ciclos económicos más ‘independientes’. A pesar de la heterogeneidad cultural y económica, los cantones suizos permanecen en la misma unión política y monetaria, compartiendo un banco central comn y un mecanismo de coordinación/ecualización para gestionar políticas fiscales independientes. La capacidad de Suiza para lograr esto debe ser materia de interés para la UE.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://hdl.handle.net/10.1080/17421772.2011.647056
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Spatial Economic Analysis.

Volume (Year): 7 (2012)
Issue (Month): 1 (March)
Pages: 9-30

as in new window
Handle: RePEc:taf:specan:v:7:y:2012:i:1:p:9-30

Contact details of provider:
Web page: http://www.tandfonline.com/RSEA20

Order Information:
Web: http://www.tandfonline.com/pricing/journal/RSEA20

Related research

Keywords:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:taf:specan:v:7:y:2012:i:1:p:9-30. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.