ON MONETARY AND FISCAL POLICY IN AN OPEN ECONOMY.

This paper deals with some aspects of monetary and fiscal policy in an open economy. For this purpose we base our conclusions on an empirical macro-model for the Netherlands for the years 1953 through 1975. For monetary policy the principal guidelines seem to be the external position and the inflation rate. The desired composition of expenditures and the rate of economic growth seem to be the principal guidelines for fiscal policy. [ABSTRACT FROM AUTHOR]