Context:
Swiss voters rejected a proposal to cap the country’s population at 10 million, citing concerns over economic growth, labour availability, and relations with the European Union (EU). The referendum highlighted the role of immigration and Switzerland’s unique system of direct democracy.

Explanation:
- Switzerland is a federal republic known for its system of Direct Democracy, where citizens can vote directly on major policy issues through referendums.
- A referendum is a mechanism allowing voters to approve or reject specific laws, policies, or constitutional amendments.
- Switzerland is not a member of the European Union (EU) but maintains close economic ties through bilateral agreements.
- One key agreement provides for the free movement of people, allowing EU citizens to live and work in Switzerland.
- Immigration has contributed significantly to Switzerland’s economic growth, labour supply, and demographic expansion.
- Restricting immigration could affect sectors facing labour shortages, including healthcare, manufacturing, and services.
- The debate reflects a broader global issue of balancing population growth, migration, economic needs, housing pressure, and public services.
- Switzerland’s population is projected to cross 10 million in the coming decades, largely due to migration.
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