Just how expansionary depends on the response of the recipients of those income flows, who include local and foreign shareholders, employees and governments. But other things equal, aggregate demand will, compared with the “average” case, be stronger, and it is more likely that there will be a problem of inflation in the non-traded sector.
Accordingly, it is likely that  BIS Review 90/2008  3  monetary policy in a country like Australia would need to be tighter than in the “average” case. That is the analytical background.