Sovereign Money Initiative ("Vollgeld-Initiative")

Sovereign Money Initiative

What is your general opinion on the proposed Sovereign Money Initiative reform? Are you in general in favour of the initiative, are you neutral, or do you reject it? (in percent)

Default Risk Today

In our current system, customers’ current account balances (giro accounts) are subject to a default risk in case a bank turns insolvent. A sovereign money system should avert this risk. Given current security mechanisms, how high is the default risk in today’s system? (in percent)

Stability through Initiative?

The Sovereign Money Initiative aims to separate money creation from lending activities. Some economists are of the opinion that this will not only safeguard payment transactions, but also increase overall financial stability. Others do not agree. In your opinion, does this separation increase financial stability and is it a suitable measure to achieve this aim? (in percent)

Credit costs

Since banks would no longer be permitted to finance loans by creating book money under the sovereign money system, some economists argue that this restriction may make loans more expensive. Others do not believe that there is a risk of higher credit costs since the central bank can supply funds to the banks. How much do you agree or disagree with the following statement “Loans become more expensive under the proposed sovereign money system”? (in percent)

Independence of SNB

Under the proposed Sovereign Money Initiative, money will enter circulation as transfers to the federal government, cantons or citizens, neither by purchasing securities nor through granting collateralised loans. Critics argue that directly allocating money to the government or citizens would undermine the independence of the Swiss National Bank (SNB). Others do not see this as a problem since the SNB would decide how much sovereign money to put into circulation. In your opinion, how likely is it that this will endanger the independence of the SNB? (in percent)

Risk of Transition

The transition to a sovereign money system would be associated with changes in the financial sector. Opponents believe that a change harbours substantial risks. Others think the transition would not be problematic. In your opinion, how high are the risks associated with a transition to such a new system in Switzerland? (in percent)

General assessment of financial stability

The Great Recession has shown that financial crises can go hand in hand with significant macroeconomic costs. Efforts have since been undertaken to make the financial system more stable, both at the national and international levels. Some are of the opinion that the current regulatory measures are sufficient to guarantee adequate stability of the financial system. Others do not agree. How much do you agree or disagree with the following statement: “The current regulatory measures are sufficient”? (in percent)