Berthold, Kristin; Stadtmann, Georg - In: Journal of Central Banking Theory and Practice 7 (2018) 1, pp. 43-57
We examine the reasons why the SNB gave up the lower floor of the 1.20 CHF/EUR exchange rate arrangement. Three types of shocks played a role: Exogenous shocks to the autonomous component of money demand, interest rate decreases of the ECB, as well as appreciation expectations. In order to...