The Swiss economy between market and state
Companies in Switzerland have traditionally enjoyed far-reaching liberties. The state has, however, always set politico-economic guide rails.
Switzerland has a largely liberal economic constitution. This means that the state does not become involved in the actual business dealings of companies and corporations. The Swiss Federal Archives contain many documents on Switzerland's politico-economic history, from legislation processes and areas in which the Confederation fulfils obligatory supervision duties to those areas of business that are subject to governmental control in the form of subventions and intervention.
Three subject areas illustrate the Confederation's politico-economic activities: Agriculture as an example of the political influence of business and industrial associations; the predominantly socio-political role of the protection of workers; and the primacy of the market over the state in financial services segment.
Farmers' state or state of farmers?
To this day, the government in Switzerland has never intervened in any area of the economy to the extent of its intervention in agriculture. It controls production, grants subventions and guarantees prices and sales quantities. It also protects producers by imposing import duties and promoting exports.
Industrialisation and the social issue
Industrialisation and the social problems relating to it posed new challenges to the Federal State that was founded in 1848. It reacted step by step to socio-political issues by introducing labour protection measures. Simultaneously, the Confederation always endeavoured to improve the basic conditions affecting the commercial and industrial sector in Switzerland.
The success story of the “Swiss financial centre”
The Swiss financial centre owes its success to business-friendly legislation – and also to bank confidentiality and low tax rates. Moreover, the history of the major banks is closely linked to that of the industry. However, the success story is peppered with difficult phases, especially in more recent times.
Swiss Federal Archives
Archivstrasse 24
CH - 3003 Bern