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Public Paper Series
paper shows that the income distribution in Switzer-
land is surprisingly stable, and the opening of the
“income scissors” is thus more perceived than real.
The Gini coefficient, as a measure for total unequal
income distribution, has only changed negligibly, and
the share of the wealthiest 1% (and thus of the famed
remaining 99%) on aggregate income has remained
relatively stable over the last decades (see graph). The
super rich remain the only exception, as their share
has increased strongly in recent years.
Swiss stability is even more evident in the distribution
of wealth, where the absence of wars and crises and
the existence of predictable economic policies has
given Switzerland a highly stable distribution of
wealth, which is internationally a special case. A
result of this unusual stability is that the concentra-
tion of wealth in Switzerland is among the highest
worldwide. The authors show, however, with new
research results that this measure becomes more
relative when pension fund assets, which are very
important in Switzerland, are included.
The stability here definitely becomes a problem in the
area of mobility. Economists consider this to be
The distribution of
income and wealth in
Switzerland
The new UBS Center Public Paper shows that Switzer-
land is a center of stability – in a good as well as in a
less good sense.
Although Switzerland regularly takes on the best posi-
tions in the world with respect to average income and
wealth, the question of distribution consistently
defines public discourse in the country. Political
processes, which constantly fight perceived, continu-
ally increasing inequality, are not lacking. In the past
years, Swiss citizens voted on a national inheritance
tax, the 1:12 plebiscite, or the “Abzocker” plebiscite
against high executive compensation, and the Swiss
young socialists launched the so-called “99% plebi-
scite” in October 2017.
Although an actual increase in inequality can actually
be observed in many countries, the new UBS Center
France
(without capital gains)
Germany
(without capital gains)
Germany
(incl. capital gains)
Switzerland
(without capital gains)
USA
(without capital gains)
USA
(incl. capital gains)
1913 1923 1933 1943 1953 1963 1973 1983 1993 2003 2013
Source: WID (World Wealth and Income Database).
Share of aggregate income in %
20
15
10
5
Share of the 1% with the highest income in an international comparison, 1913–2013