|  Government The Netherlands is a constitutional monarchy and a parliamentary democracy and was voted the 4th most democratic country in the world by The Economist in 2008. The head of state is the monarch (currently Queen Beatrix). The monarch has limited powers but has to cosign all bills before they become law. The executive power is called the ministerraad. The ministerraad is a council of the Dutch cabinet. There is also a head of government, the Prime Minister. The government of the Netherlands is often referred to as a consociational state because it attempts to include representatives of all parties and people in the society in reaching a consensus on important issues. Economy In 2009, the Netherlands had the 6th largest economy in the world. The Netherlands has an open capitalist economy and is known for its low unemployment and inflation, stable industrial relations, and its position as a major transportation hub in Europe. It is part of the European Union and uses the Euro as its currency. The Dutch economy relies heavily on foreign trade and investment as well as the production of chemicals, food processing, electrical machinery, and petroleum refining. |