Biology of Business

Switzerland

By Alex Denne

Switzerland's direct democracy system is unique among major economies: any citizen can challenge a parliamentary decision through referendum (requiring 50,000 signatures) or propose a constitutional amendment through popular initiative (100,000 signatures). The federal system divides power across 26 cantons with such granularity that tax rates, education systems, and even citizenship rules vary by municipality. The Federal Council — a seven-member executive — rotates the presidency annually and operates by consensus rather than majority rule, with all major parties represented simultaneously in government. This structure sacrifices speed for stability: Switzerland has never experienced a revolution, coup, or constitutional crisis in its modern history. The economy depends on financial services, pharmaceuticals, precision manufacturing, and commodity trading — sectors that benefit from political neutrality and institutional predictability. The biological parallel is a colonial organism where each polyp (canton) maintains independence while the colony provides collective defence and coordination.

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Bern
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