THE NEW BRITISH ARE COMING...

As you are aware---unless you arrived via U.F.O. from Mars yesterday---the British have just finished their election process and, thanks to an unusual coalition, have formed a new government under Conservative David Cameron. It is an interesting power-sharing arrangement between the Conservatives and the Liberal Democrats, a perennial third party who always lag behind Labour and Conservatives in voting.

Liberal Democrats and Conservatives are unlikely bedfellows with vast differences. Among these differences are diametrically opposed views on the European Union. The Tories (or Conservatives) want to have as little to do as possible with the European Union politically and eschew the idea of using the Euro as their currency (right now that seems like a wise stance!), while the Lib Dems want to embrace the European Union and establish closer ties. The Lib Dems are also "greener" than the Tories and on defence want to scrap the Trident missile program which the Tories want to keep. Ideologically, the Lib dems are closer to the more liberal Labour Party. In addition, the Lib Dems are pushing for electoral reform where proportional voting can mean more seats. The Tories have shown a willingness to consider such reform.

The Lib Dems are headed by a young new face, Nick Clegg, 43, the same age as David Cameron, who came on like a shooting star in the first of the three televised debates between the three parties' candidates and grabbed public attention. Unfortunately for his party, the glow didn't last and the Lib Dems even lost a few seats compared to the last election. Nevertheless, Clegg became a major player.

Since the Conservatives won the largest share of seats in Parliament, 306, a little short of the 328 needed to have a majority, Nick Clegg faced political realities and made it known that he would be willing to talk to the Tories and David Cameron to see if a coalition government could be formed. Gordon Brown, the deposed Prime Minister, tried to make an end-around play and offered to resign if the Lib Dems would make a deal with Labour. That one didn't work: even some staunch Labour supporters and Cabinet ministers said the majority party should govern and not a combination of the two losers.

Somehow over the next five days after the election Cameron and Clegg and their subordinates hammered together a deal which, at least for now, is the basis for a government. Nick Clegg became Deputy Prime Minister under Prime Minister David Cameron, and a cabinet of mixed Tories and Lib Dems was agreed upon. One encouraging sign was noted in the statement by David Cameron, seconded by Nick Clegg, that the good of the country supercedes party loyalties. (Ed. note: do you think there is a moral here for America?)

Mervyn King, the head of the Bank of England, the equivalent of Fed chief, Ben Bernancke, prophesied before the election that whichever party won would be a short-term winner and would be unable to compete again for twenty years because of the severity of the economic problems they would face and the voter fury at the austerity of their programs. King also was impressed by the economic austerity program and fiscal reductions proposed by the new team.

It is a brave new world for British politics, fraught with danger and pain, for this new coalition.
Will the coalition survive the honeymoon period? Can they find ways to accommodate and compromise? Stay tuned, folks, it's going to be a hairy ride. Let's wish them lots of luck!