It appears that that the German electoral deadlock will be resolved as many predicted three weeds ago, with the Christian Democrats and Social Democrats forming a “grand coalition” that also includes the Bavarian Christian Social Union. Under the just-announced agreement, Angela Merkel will replace Gerhard Schroeder as Chancellor. But the Social Democrats will hold eight of fourteen Cabinet positions, and the CDU, while the largest party in Parliament, is far from having a majority. So it seems doubtful how much of the CDU’s reform agenda can be enacted. The problem is that German voters are fed up with Schroeder’s Social Democrats, but most are not yet ready to embrace meaningful reform that would make Germany’s moribund economy more competitive.
Via Power Line News.
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