Macroeconomics

Switzerland exported the fewest quartz watches in 33 years as competition from fitness bands and smartwatches pummeled the low end of the market and forced the industry to refocus on more expensive mechanical timepieces.

Swiss watchmakers shipped 17 million quartz and electronic timepieces in 2017, the lowest number since 1984, according to statistics published Tuesday by the Federation of the Swiss Watch Industry. By value, that was worth 3.5 billion francs ($3.7 billion), down 3.8 percent from 2016.

The severity of the global financial crisis, and the weakness of the subsequent recovery, triggered much soul-searching among the economics profession. The global economy may finally be escaping from the long shadow of the crisis, but macroeconomics has continued to undergo a major reassessment in light of its apparent failure to predict and explain the crisis.

In January, the KOF Economic Barometer does not continue its upward tendency, which started in September 2017, but has declined. However, despite the decline, the indicator remains well above its long-term average. It still indicates a more dynamic economic development than in mid-2017. The recovery of the Swiss economy is thus likely to continue, albeit with slightly less momentum than indicated in the past few months.

Chinese producer price inflation decreased to the weakest level since late 2016 in December, while the consumer price expansion was mostly stable, removing pressure from the PBoC to constrain inflation even, as it hikes interest rates to curb the debt increase.

A confidential report prepared for the British government and leaked on Monday suggests all UK industries will be hurt by leaving the European Union, Buzzfeed News reported.

The paper, EU Exit Analysis – Cross Whitehall Briefing, is dated January 2018, and looks at three of the most plausible Brexit scenarios based on existing EU arrangements.

A latest Bloomberg survey shows economists expect Swiss National Bank (SNB) to raise rates only after the European Central Bank (ECB) begins tightening cycles. Thus, SNB is not seen raising rates before the fourth quarter of 2019.

Fewer people migrated to Switzerland last year than at any point in the past ten years and the number of arrivals from the European Union plunged last year, the Swiss media reported Monday.

The number of European Union workers arriving in Switzerland halved last year from a peak in 2013 and net immigration from EU states stood at 30,799 in 2017, Swissinfo said, quoting the NZZ am Sonntag newspaper.

International students are worth about 10 times more to the UK economy than they cost the taxpayer, according to a new report that will add to pressure currently mounting on the country’s government for a shift in policy on the issue.

The analysis, which, unlike most similar studies in the past, looks at the cost of hosting overseas students as well as the benefits, calculates the bill at £2.3 billion, including use of the NHS and other public services.