Changes

According to the Swiss Federal Office of Statistics, the population in Switzerland increased to an estimated 7,523,934 by July 2006. Three-quarters of this growth was attributed to migration. Switzerland naturalized 22% more people in 2006 compared to 2005, totaling 46,700 persons. By the end of 2006, there were 850,000 foreigners working legally in Switzerland. The rise of German immigrants, as confirmed in earlier reports, increased by 10.6% (+10,000). Portuguese workers also increased by 7.4% (+7000). On the other hand, the number of the Italians continued to drop by –3.2% (-5000). The major ethnic groups are: German 65%, French 10%, and Italians 6%.

According to the Swiss Federal Office of Statistics, the population in Switzerland increased to an estimated 7,523,934 by July 2006. Three-quarters of this growth was attributed to migration. Switzerland naturalized 22% more people in 2006 compared to 2005, totaling 46,700 persons. By the end of 2006, there were 850,000 foreigners working legally in Switzerland. The rise of German immigrants, as confirmed in earlier reports, increased by 10.6% (+10,000). Portuguese workers also increased by 7.4% (+7000). On the other hand, the number of the Italians continued to drop by –3.2% (-5000). The major ethnic groups are: German 65%, French 10%, and Italians 6%.

Almost all Swiss are literate. Switzerland's 13 university institutes enrolled 111,100 students in the academic year of 2004-05. About 25% of the adult population holds a diploma of higher learning.  

Almost all Swiss are literate. Switzerland's 13 university institutes enrolled 111,100 students in the academic year of 2004–05. About 25% of the adult population holds a diploma of higher learning.  

The Constitution guarantees freedom of worship, and the different religious communities co-exist peacefully. While the majority of the Swiss population is still nominally Christian, like much of Europe, the country is quickly becoming secular. Despite this trend, [[Evangelical Christianity]] has seen rapid growth in Switzerland recently.<ref>Kumar, Anugrah (December 5, 2011). [http://www.christianpost.com/news/evangelical-churches-growing-fast-in-switzerland-63962/ Evangelical Churches Growing Fast in Switzerland]. ''The Christian Post''. Retrieved October 6, 2016.</ref>

The Constitution guarantees freedom of worship, and the different religious communities co-exist peacefully. While the majority of the Swiss population is still nominally Christian, like much of Europe, the country is quickly becoming secular. Despite this trend, [[Evangelical Christianity]] has seen rapid growth in Switzerland recently.<ref>Kumar, Anugrah (December 5, 2011). [http://www.christianpost.com/news/evangelical-churches-growing-fast-in-switzerland-63962/ Evangelical Churches Growing Fast in Switzerland]. ''The Christian Post''. Retrieved October 6, 2016.</ref>

''See also:'' [[Motorways of Switzerland]]

''See also:'' [[Motorways of Switzerland]]

[[Europe]]’s best roads, those found in the [[Netherlands]] and Switzerland, are also among the world’s finest. The Global Competitiveness Report 2019, published by the World Economic Forum ranked 141 countries based on their performance in a variety of different categories. Switzerland was ranked as having the second best roads in Eruope.<ref>[https://viborc.com/road-quality-in-europe-the-best-and-worst-roads-in-europe/ Road quality in Europe: the best and worst roads in Europe]</ref>

[[Europe]]’s best roads, those found in the [[Netherlands]] and Switzerland, are also among the world's finest. The Global Competitiveness Report 2019, published by the World Economic Forum ranked 141 countries based on their performance in a variety of different categories. Switzerland was ranked as having the second best roads in Eruope.<ref>[https://viborc.com/road-quality-in-europe-the-best-and-worst-roads-in-europe/ Road quality in Europe: the best and worst roads in Europe]</ref>

==Foreign Relations==

==Foreign Relations==

[[Tourism]], [[banking]], [[engineering]], and [[insurance]] are significant sectors of the economy and heavily influence the country's economic policies. Swiss trading companies have unique marketing expertise in many parts of the world, including Eastern Europe, the Far East, Africa, and the Middle East. Not only does Switzerland have a highly developed [[tourism]] infrastructure (making it a good market for tourism-related equipment and services), the Swiss also are intrepid travelers. Per capita, more Swiss visit the United States every year than from any other country. Tourism is the most important U.S. export to Switzerland (earning almost $1.5 billion). In 2004, more than 285,000 Swiss came to the United States as tourists.  

[[Tourism]], [[banking]], [[engineering]], and [[insurance]] are significant sectors of the economy and heavily influence the country's economic policies. Swiss trading companies have unique marketing expertise in many parts of the world, including Eastern Europe, the Far East, Africa, and the Middle East. Not only does Switzerland have a highly developed [[tourism]] infrastructure (making it a good market for tourism-related equipment and services), the Swiss also are intrepid travelers. Per capita, more Swiss visit the United States every year than from any other country. Tourism is the most important U.S. export to Switzerland (earning almost $1.5 billion). In 2004, more than 285,000 Swiss came to the United States as tourists.  

In 2005, the dollar/Swiss franc exchange rate continued to be shaped by geopolitical tensions. The dollar depreciated further against the Swiss franc from SF 1.49 in October 2002 to SF 1.31 in 2003, to 1.28 in 2005 to 1.23 in July 2006, and 1.22 in January 2007. The strengthening of the Euro, however, helped Switzerland to minimize the pressure from a weakening dollar. The Swiss National Bank raised interest rates on June 15, 2006 to 1.5%, the third increase since January 2006. The Swiss National Bank also said it expected economic growth to be a robust 2.5% in 2006 and 2007.

In 2005, the dollar/Swiss franc exchange rate continued to be shaped by geopolitical tensions. The dollar depreciated further against the Swiss franc from SF 1.49 in October 2002 to SF 1.31 in 2003, to 1.28 in 2005 to 1.23 in July 2006, and 1.22 in January 2007. The strengthening of the Euro, however, helped Switzerland to minimize the pressure from a weakening dollar. The Swiss National Bank raised interest rates on June 15, 2006, to 1.5%, the third increase since January 2006. The Swiss National Bank also said it expected economic growth to be a robust 2.5% in 2006 and 2007.

While the number of bankruptcies in Switzerland had been on the rise for four years, reaching alarming levels in 2005 (10,800), the rate dropped by 4.7% in 2006. Compared to other European countries, Switzerland's bankruptcy rates ranks fourth (1.35%) among the hardest hit countries, after Luxemburg (2.39%), Austria (1.9%) and France (1.49%).  

While the number of bankruptcies in Switzerland had been on the rise for four years, reaching alarming levels in 2005 (10,800), the rate dropped by 4.7% in 2006. Compared to other European countries, Switzerland's bankruptcy rates ranks fourth (1.35%) among the hardest hit countries, after Luxemburg (2.39%), Austria (1.9%) and France (1.49%).  

===Global Economic Crisis===

===Global Economic Crisis===

[[File:Aerial view of Zurich.JPG|thumb|200px|A view of Zürich from the air.]]

[[File:Aerial view of Zurich.JPG|thumb|200px|A view of Zürich from the air.]]

Being a nation that depends upon exports for economic growth, and due to the fact that it is so closely linked to the economies of Western Europe and the United States, Switzerland was not able to escape recent slowdowns experienced in these countries. During most of the 1990s, the Swiss economy was Western Europe's weakest, with annual GDP growth averaging 0% between 1991 and 1997. Beginning in late 1997, the economy steadily gained momentum until peaking in 2000 with 3% growth in real terms. The economy returned to lackluster growth during 2001-2003, but has been growing at or above potential since 2004–2.5% per annum. The Swiss Economic Ministry reports that strong global demand, particularly in the U.S. and Asia, and better Euro zone growth has helped Switzerland's economic recovery. Long-run economic growth, however, is predicated on structural reforms. In order to maximize its economic potential, Switzerland will need to push through difficult agrarian and competition policy reforms. These are essential if the government is to reduce its budget deficits and meet its 3% growth target.  

Being a nation that depends upon exports for economic growth, and due to the fact that it is so closely linked to the economies of Western Europe and the United States, Switzerland was not able to escape recent slowdowns experienced in these countries. During most of the 1990s, the Swiss economy was Western Europe's weakest, with annual GDP growth averaging 0% between 1991 and 1997. Beginning in late 1997, the economy steadily gained momentum until peaking in 2000 with 3% growth in real terms. The economy returned to lackluster growth during 2001–2003, but has been growing at or above potential since 2004–2.5% per annum. The Swiss Economic Ministry reports that strong global demand, particularly in the U.S. and Asia, and better Euro zone growth has helped Switzerland's economic recovery. Long-run economic growth, however, is predicated on structural reforms. In order to maximize its economic potential, Switzerland will need to push through difficult agrarian and competition policy reforms. These are essential if the government is to reduce its budget deficits and meet its 3% growth target.  

The recent economic upswing had some positive impact on the labor market. Unemployment decreased from 4.1% in December 2003 to 3.1% in March 2007. Swiss in the 15-25 age bracket continue to fight unemployment numbers with a rate of 5.4%, and hotel and restaurant industry workers with 10.4%. One-fourth of the country's full-time workers are unionized. In general, labor/management relations are good, mostly characterized by a willingness on both sides to settle disputes by negotiations rather than by labor action. About 600 collective bargaining agreements exist today in Switzerland and are regularly renewed without major problems. However, the mood is changing. The massive layoffs that resulted from both the global economic slowdown and major management scandals have strained the traditional Swiss "labor peace." Swiss trade unions encouraged strikes against several companies, including the national airline SWISS, Coca-Cola, and Orange (the French telecom operator), but total days lost to strikes remain among the lowest in the OECD. Uncertainties concerning the proper management of pension funds, and the prospect of a potential hike in the retirement age from 65 to 67 have stirred heated political debate.

The recent economic upswing had some positive impact on the labor market. Unemployment decreased from 4.1% in December 2003 to 3.1% in March 2007. Swiss in the 15-25 age bracket continue to fight unemployment numbers with a rate of 5.4%, and hotel and restaurant industry workers with 10.4%. One-fourth of the country's full-time workers are unionized. In general, labor/management relations are good, mostly characterized by a willingness on both sides to settle disputes by negotiations rather than by labor action. About 600 collective bargaining agreements exist today in Switzerland and are regularly renewed without major problems. However, the mood is changing. The massive layoffs that resulted from both the global economic slowdown and major management scandals have strained the traditional Swiss "labor peace." Swiss trade unions encouraged strikes against several companies, including the national airline SWISS, Coca-Cola, and Orange (the French telecom operator), but total days lost to strikes remain among the lowest in the OECD. Uncertainties concerning the proper management of pension funds, and the prospect of a potential hike in the retirement age from 65 to 67 have stirred heated political debate.

The Swiss economy earns roughly half of its corporate earnings from the export industry, and 62% of Swiss exports are destined for the [[EU]] market. The EU is Switzerland's largest trading partner, and economic and trade barriers between them are minimal. In the wake of the Swiss voters' rejection of the European Economic Area Agreement in 1992, the Swiss Government set its sights on negotiating bilateral sectoral agreements with the EU. After more than 4 years of negotiations, an agreement covering seven sectors (research, public procurement, technical barriers to trade, agriculture, civil aviation, land transport, and the free movement of persons) was achieved at the end of 1998. Parliament officially endorsed the so-called "Bilaterals I" in 1999, and the Swiss people approved them in a referendum in May 2000. The agreements, which had to be ratified by the European Parliament as well as legislatures in all 15 EU member states, entered into force on June 1, 2002. Switzerland has so far attempted to mitigate possible adverse effects of non-membership by conforming many of its regulations, standards, and practices to EU directives and norms. Full access to the Swiss market for the original 15 EU member states entered into force in June 2004, ending as a result the “national preference”. The Swiss agreed to extend these preferences to the 10 new EU members on September 25, 2005.

The Swiss economy earns roughly half of its corporate earnings from the export industry, and 62% of Swiss exports are destined for the [[EU]] market. The EU is Switzerland's largest trading partner, and economic and trade barriers between them are minimal. In the wake of the Swiss voters' rejection of the European Economic Area Agreement in 1992, the Swiss Government set its sights on negotiating bilateral sectoral agreements with the EU. After more than 4 years of negotiations, an agreement covering seven sectors (research, public procurement, technical barriers to trade, agriculture, civil aviation, land transport, and the free movement of persons) was achieved at the end of 1998. Parliament officially endorsed the so-called "Bilaterals I" in 1999, and the Swiss people approved them in a referendum in May 2000. The agreements, which had to be ratified by the European Parliament as well as legislatures in all 15 EU member states, entered into force on June 1, 2002. Switzerland has so far attempted to mitigate possible adverse effects of non-membership by conforming many of its regulations, standards, and practices to EU directives and norms. Full access to the Swiss market for the original 15 EU member states entered into force in June 2004, ending as a result the “national preference”. The Swiss agreed to extend these preferences to the 10 new EU members on September 25, 2005.

The Swiss Government embarked in July 2001 on a second round of bilateral negotiations with the EU known as “Bilaterals II”. Talks focused on customs fraud, environment, statistics, trade in processed agricultural goods, media, the taxation of savings, and police/judicial cooperation (dubbed the Schengen-Dublin accords). Amid a fierce political debate over the essence of Swiss-EU relations and populist warnings against EU workers and criminals entering Switzerland, the Schengen-Dublin package was approved on June 5, 2005 by a referendum of 54.6%. Fears of cheap labor coming from new EU member states have prompted the government to provide for tripartite surveillance committees to ensure that decent wages are enforced. The EU has still to ratify the extension of Schengen to Switzerland, and implement the bilateral agreements on research and development and media cooperation.

The Swiss Government embarked in July 2001 on a second round of bilateral negotiations with the EU known as “Bilaterals II”. Talks focused on customs fraud, environment, statistics, trade in processed agricultural goods, media, the taxation of savings, and police/judicial cooperation (dubbed the Schengen-Dublin accords). Amid a fierce political debate over the essence of Swiss-EU relations and populist warnings against EU workers and criminals entering Switzerland, the Schengen-Dublin package was approved on June 5, 2005, by a referendum of 54.6%. Fears of cheap labor coming from new EU member states have prompted the government to provide for tripartite surveillance committees to ensure that decent wages are enforced. The EU has still to ratify the extension of Schengen to Switzerland, and implement the bilateral agreements on research and development and media cooperation.

As part of the bilateral agreement on the taxation of savings signed in June 2003, Swiss banks will levy a withholding tax on EU citizens' savings income. The tax, which started on July 1, 2005, will increase gradually to 35% by 2011, with 75% of the funds being transferred to the EU.  

As part of the bilateral agreement on the taxation of savings signed in June 2003, Swiss banks will levy a withholding tax on EU citizens' savings income. The tax, which started on July 1, 2005, will increase gradually to 35% by 2011, with 75% of the funds being transferred to the EU.  

After the decline of the [[Roman Empire]], Switzerland was invaded by [[Germanic tribe]]s from the north and west. Some tribes, such as the Alemanni in central and northeastern Switzerland, and the [[Burgundian]]s, who ruled western Switzerland, settled there. In 800, the country became part of [[Charlemagne]]'s empire. It later passed under the dominion of the [[Holy Roman Emperor|Holy Roman emperors]] in the form of small ecclesiastic and temporal holdings subject to imperial sovereignty.

After the decline of the [[Roman Empire]], Switzerland was invaded by [[Germanic tribe]]s from the north and west. Some tribes, such as the Alemanni in central and northeastern Switzerland, and the [[Burgundian]]s, who ruled western Switzerland, settled there. In 800, the country became part of [[Charlemagne]]'s empire. It later passed under the dominion of the [[Holy Roman Emperor|Holy Roman emperors]] in the form of small ecclesiastic and temporal holdings subject to imperial sovereignty.

With the opening of a new important north-south trade route across the [[Alps]] in the early 13th century, the Empire's rulers began to attach more importance to the remote Swiss mountain valleys, which were granted some degree of autonomy under direct imperial rule. Fearful of the popular disturbances flaring up following the death of the Holy Roman Emperor in 1291, the ruling families from Uri, Schwyz, and Unterwalden signed a charter to keep public peace and pledging mutual support in upholding autonomous administrative and judicial rule. The anniversary of the charter's signature (August 1, 1291) today is celebrated as Switzerland's National Day.  

With the opening of a new important north–south trade route across the [[Alps]] in the early 13th century, the Empire's rulers began to attach more importance to the remote Swiss mountain valleys, which were granted some degree of autonomy under direct imperial rule. Fearful of the popular disturbances flaring up following the death of the Holy Roman Emperor in 1291, the ruling families from Uri, Schwyz, and Unterwalden signed a charter to keep public peace and pledging mutual support in upholding autonomous administrative and judicial rule. The anniversary of the charter's signature (August 1, 1291) today is celebrated as Switzerland's National Day.  

[[File:D aigle Castle Switzerland.jpg|thumb|300px|D'aigle Castle.]]

[[File:D aigle Castle Switzerland.jpg|thumb|300px|D'aigle Castle.]]

Between 1315 and 1388 the Swiss Confederates inflicted three crushing defeats on the [[Habsburgs]], whose aspiration to regional dominion clashed with Swiss self-determination. During that period, five other localities (cantons in modern-day parlance) joined the original three in the Swiss Confederation. Buoyed by their feats, the Swiss Confederates continuously expanded their borders by military means and gained formal independence from the [[Holy Roman Empire]] in 1499. Routed by the [[France|French]] and [[Venice|Venetians]] near [[Milan]] in 1515, they renounced expansionist policies. By then the Swiss Confederation had become a union of 13 localities with a regularly convening diet administering the subject territories. Swiss mercenaries continued for centuries to serve in other armies; the Swiss Guard of the Pope is a vestige of this tradition.  

Between 1315 and 1388 the Swiss Confederates inflicted three crushing defeats on the [[Habsburgs]], whose aspiration to regional dominion clashed with Swiss self-determination. During that period, five other localities (cantons in modern-day parlance) joined the original three in the Swiss Confederation. Buoyed by their feats, the Swiss Confederates continuously expanded their borders by military means and gained formal independence from the [[Holy Roman Empire]] in 1499. Routed by the [[France|French]] and [[Venice|Venetians]] near [[Milan]] in 1515, they renounced expansionist policies. By then the Swiss Confederation had become a union of 13 localities with a regularly convening diet administering the subject territories. Swiss mercenaries continued for centuries to serve in other armies; the Swiss Guard of the Pope is a vestige of this tradition.  

The [[Protestant Reformation|Reformation]] led to a division between the [[Protestant]] followers of [[Ulrich Zwingli|Zwingli]] and [[John Calvin|Calvin]] in the German and French parts of the country respectively, and the [[Roman Catholic Church|Catholics]]. Despite two centuries of civil strife, the common interest in the joint subject territories kept the Swiss Confederation from falling apart. The traffic in mercenaries as well as the alienation between the predominantly Protestant Swiss and their Catholic neighbors kept the Swiss Confederation out of the wars of the European powers, which formally recognized Swiss neutrality in the [[Treaty of Westphalia]] in 1648. The Swiss remained neutral during the War of the First Coalition against revolutionary France, but [[Napoleon Bonaparte|Napoleon]], nonetheless, invaded and took control of the country in 1797-98, replacing the loose confederation with a centrally governed unitary [[Satellite nation|satellite state]] under French influence. The Swiss people highly disliked the massive changes that were occurring under Napoleon, and there were at least four coups d'état that occurred between 1800 and 1802.<ref name="Geschichte">[http://history-switzerland.geschichte-schweiz.ch/swiss-revolution-helvetic-republic-1798.html Swiss Revolution and the Helvetic Republic (1798)]. ''geschichte-schweiz.ch''. 2004. Retrieved September 9, 2016.</ref> Napoleon was forced to withdraw his troops in 1802, and after a civil war broke out, the Act of Mediation was signed on February 18, 1803, which restored much of the independence and autonomy of the Swiss Cantons.<ref name="Geschichte"/><ref>[http://www.swissinfo.ch/eng/swiss-celebrate-napoleon-s-historic-act/3174096 Swiss celebrate Napoleon's historic act]. ''Swissinfo''. February 20, 2003. Retrieved September 9, 2016.</ref>  

The [[Protestant Reformation|Reformation]] led to a division between the [[Protestant]] followers of [[Ulrich Zwingli|Zwingli]] and [[John Calvin|Calvin]] in the German and French parts of the country respectively, and the [[Roman Catholic Church|Catholics]]. Despite two centuries of civil strife, the common interest in the joint subject territories kept the Swiss Confederation from falling apart. The traffic in mercenaries as well as the alienation between the predominantly Protestant Swiss and their Catholic neighbors kept the Swiss Confederation out of the wars of the European powers, which formally recognized Swiss neutrality in the [[Treaty of Westphalia]] in 1648. The Swiss remained neutral during the War of the First Coalition against revolutionary France, but [[Napoleon Bonaparte|Napoleon]], nonetheless, invaded and took control of the country in 1797–98, replacing the loose confederation with a centrally governed unitary [[Satellite nation|satellite state]] under French influence. The Swiss people highly disliked the massive changes that were occurring under Napoleon, and there were at least four coups d'état that occurred between 1800 and 1802.<ref name="Geschichte">[http://history-switzerland.geschichte-schweiz.ch/swiss-revolution-helvetic-republic-1798.html Swiss Revolution and the Helvetic Republic (1798)]. ''geschichte-schweiz.ch''. 2004. Retrieved September 9, 2016.</ref> Napoleon was forced to withdraw his troops in 1802, and after a civil war broke out, the Act of Mediation was signed on February 18, 1803, which restored much of the independence and autonomy of the Swiss Cantons.<ref name="Geschichte"/><ref>[http://www.swissinfo.ch/eng/swiss-celebrate-napoleon-s-historic-act/3174096 Swiss celebrate Napoleon's historic act]. ''Swissinfo''. February 20, 2003. Retrieved September 9, 2016.</ref>  

The [[Congress of Vienna]] in 1815 removed all remaining French control and re-established the old confederation of sovereign states and enshrined Switzerland's status of permanent armed neutrality in international law. In 1848, after a brief civil war between Protestant liberals seeking a centralized national state and Catholic conservatives clinging on to the old order, the majority of Swiss Cantons opted for a Federal State, modeled in part on the [[U.S. Constitution]]. The Swiss Constitution established a range of civic liberties and made far-reaching provisions to maintain cantonal autonomy to placate the vanquished Catholic minority. The Swiss amended their Constitution extensively in 1874, establishing federal responsibility for defense, trade, and legal matters, as well as introducing direct democracy by popular referendum. To this day, cantonal autonomy and referendum democracy remain trademarks of the Swiss polity.

The [[Congress of Vienna]] in 1815 removed all remaining French control and re-established the old confederation of sovereign states and enshrined Switzerland's status of permanent armed neutrality in international law. In 1848, after a brief civil war between Protestant liberals seeking a centralized national state and Catholic conservatives clinging on to the old order, the majority of Swiss Cantons opted for a Federal State, modeled in part on the [[U.S. Constitution]]. The Swiss Constitution established a range of civic liberties and made far-reaching provisions to maintain cantonal autonomy to placate the vanquished Catholic minority. The Swiss amended their Constitution extensively in 1874, establishing federal responsibility for defense, trade, and legal matters, as well as introducing direct democracy by popular referendum. To this day, cantonal autonomy and referendum democracy remain trademarks of the Swiss polity.