Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/305615 
Year of Publication: 
2024
Series/Report no.: 
CESifo Working Paper No. 11373
Publisher: 
CESifo GmbH, Munich
Abstract: 
Consumers access foreign goods by purchasing them domestically or shopping abroad. We present new facts on cross-border shopping by Swiss households showing, for example, that prices of identical products are lower in neighboring countries, cross-border shopping shares fall with distance to the border, and price gaps and cross-border shopping shares rose following the 2015 Swiss Franc appreciation. We use a simple model of cross-border shopping to quantify how variation across space in cross-border shopping results in heterogeneous changes in cost-of-living in response to changes in international prices such as the 2015 Swiss Franc Appreciation and the 2020 Covid-19-related closing of the border.
Subjects: 
cross-border shopping
cost of living
household heterogeneity
JEL: 
E31
F10
F41
F60
Document Type: 
Working Paper
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