Explain the potential supplyside effects of the VAT reduction on the Swiss economy. In 2017, Swiss voters
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Explain the potential supplyside effects of the VAT reduction on the Swiss economy.
In 2017, Swiss voters rejected the continued funding of the 2020 OldAge and Survivors Insurance reform. As a result, Switzerland is reducing its valueadded tax (VAT) from 8 percent to 7.7 percent and the special VAT rate from 3.8 percent to 3.7 percent, which will be effective starting January 1, 2018.
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