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160 Years of Aggregate Supply and Demand in Switzerland

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  • Rebecca Stuart

Abstract

This paper studies the causes of movements in inflation and output in Switzerland over 160 years between 1855 and 2015. Aggregate supply and demand shocks are identified in a structural VAR and their evolution and effect on prices and output is discussed. Shocks to the Swiss economy have generally, although not uniformly, declined in magnitude over the sample period. The World Wars, the deflation of the 1920s and the Great Depression represented much larger shocks than either of 1970s break-up of Bretton Woods and move to floating exchange rates or the Global Financial Crisis.

Suggested Citation

  • Rebecca Stuart, 2022. "160 Years of Aggregate Supply and Demand in Switzerland," IRENE Working Papers 22-01, IRENE Institute of Economic Research.
    • Handle: RePEc:irn:wpaper:22-01
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Switzerland; aggregate supply and demand; long time series; SVAR;
    All these keywords.

    JEL classification:

    • E1 - Macroeconomics and Monetary Economics - - General Aggregative Models
    • E4 - Macroeconomics and Monetary Economics - - Money and Interest Rates
    • N1 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations

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