Funding of Swiss Cantons, Mechanisms and Solidarity

Abstract

Switzerland is a federal state made up of twenty-six Cantons. This article studies the funding mechanisms of the Cantons and the solidarity they induce. The article is based on the rules and formula provided by the Swiss law and on calculations for the year 2020. This article highlights the redistributive character of the Swiss system of funding and even shows in some cases a paradox of revenues, some Cantons becoming wealthier than others which were initially wealthier.

Keywords

• equalization
• federalism
• funding
• paradox of revenues
• solidarity
• swiss cantons