Is monetary policy relitively more or less effective in an open economy, as opposed to a closed economy?

Question

And why is this?

Answer 1

Open or Closed, Monetary policy always works within the economy bounds of the economy. So it doesn't matter if the borders are sealed or trade comes and goes, the impact of monetary policy is effective regardless.

For instance, if you felt inflation was out of control and your monetary policy was to cut the money supply, it wouldn't matter if the economy was open or closed. If you cut the money supply, the back of inflation will be broken. Because foreigners trading to trade in your country still would have the same problems of trying to raise prices as domestic companies when there isn't enough money to go around.

Answer 2

Monetary policy is less effective at giving legislators more control in an open economy; however, monetary policy is more effective at making a national and global impact to commerce.