SNB working paper examines drivers of Swiss franc real exchange rate
Researchers conduct empirical investigation that builds on others’ work on the topic
Terms of trade and relative government spending play a "significant" role in determining the Swiss franc real exchange rate, according to a working paper published by the Swiss National Bank (SNB) this week.
In Determinants of the Swiss Franc Real Exchange Rate, Tommaso Mancini Griffoli, Christoph Meyer, Jean-Marc Natal and Attilio Zanetti compile a list of factors that other researchers have found influence the exchange rate, and "test their significance and magnitude".
"Results stemming from a
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