Inevitable Cuts Undermine American-British Partnership
Robert Gates is right to worry, but the British have little choice but to reduce military spending.
Europe
Nationalist Backlash Against Basque, Catalan Separatism
Spanish nationalists, worried that their country might disintegrate, start a new political party.
French Businesses, Unions Skeptical of Hollande’s Promises
Employers are underwhelmed by the president’s reforms while union bosses fear job losses.
Europe’s “Tea Parties” Would Appal Their American Counterparts
Europe’s populists share Americans’ resentment, but are to their left on economic policy.
Czech Social Democrats, Centrists Announce Coalition
Former finance minister Bohuslav Sobotka forms a government with parties to the right.
France’s Hollande Laments High Labor Costs But Unlikely to Act
The French president recognizes that labor costs are too high, but his Socialist Party is resistant to changes.
Russia Cleans Up Its Own Mess with Ukraine Bailout
One of the reasons Ukraine needs financial aid is that Russia tried to choke off its economy.
German Party Vote Clears Way for Third Merkel Government
Social Democrats agree to join a coalition with Angela Merkel’s conservatives.
Weak Austerity Vindicates Britain’s Ruling Coalition
The Conservatives haven’t dramatically reduced spending, but neutralized Labour’s opposition.
Dutch Lose High Credit Rating as Taxes Depress Confidence
“Austerity” in the Netherlands has mostly meant tax increases for businesses and workers.
Berlusconi Ban Strengthens Italy’s Ruling Coalition
Without his obstinate predecessor banned from public office, Enrico Letta has a more stable majority.
Germany’s Right-Wing Press Decries Social Democrats’ “Victory”
Conservatives criticize Angela Merkel’s concessions, but the left isn’t happy either.
Germany Rolls Back Labor Reforms, Sticks to Hard Line in Europe
Angela Merkel will soften some of her labor policies, but not her hard line in Europe.
Economic, Not Electoral Concerns Doomed Ukraine Pact
Leaders in Kiev didn’t worry about losing voters. They worried about losing access to the Russian market.
German Parties Close to Coalition Deal But Eye Smaller Partners
The Social Democrats signal they are open to a coalition with the far left.