Fig. 7
From: A neoclassical perspective on Switzerland’s 1990s stagnation
The role of disruptions in financial intermediation (1987Q1–1999Q4). IW denotes the investment wedge, the interest spread corresponds to the spread between the lending and deposit rates obtained from the IMF International Financial Statistics, and \({\widetilde{IW}}\) is the interest-spread-adjusted investment wedge. Y is output and \(Y^{CF}\) denotes the counterfactual path of output when holding financial frictions fixed