ABSTRACT
Fiscal and monetary policy in combination are then regarded as the main instruments of policy. Since there is always the likelihood that the economy will not behave uniformly in every sector, however, but that there will be excess demand in some sectors and deficient demand in others, this policy must be supported by a selective labour market policy which promotes adaptability. The primary task of economic policy is then to ensure that our resources are allocated to the sectors with the best development prospects. The exceptional position with regard to the production of housing is by no means irrelevant to structural policy. The more emphasis that is placed on the general effects of measures, however, the greater is the burden placed on labour market and location policies, and these by their very nature operate with selective methods.
