Christian Schweiger says that plan is in line with traditional Conservative economic policy and at odds with the ideas of its predecessor, the Labor Party. Former prime minister Gordon Brown invested heavily in the public sector and believed the government had to keep spending (1)_____________________________.
Mr. Brown resigned earlier this week after a coalition was formed between the center-right Conservatives and the left-leaning Liberal Democrats. The deal was made after a general election last week gave no party an overall majority in parliament.
Mark Wickham-Jones from the University of Bristol says the Conservatives and the Liberal Democrats differ on a number of policies and (2)_____________________________. "They will be a little nervous about this. Markets don't like coalition. They don't like uncertainty, so that may be resolved with this agreement, but they also don't like it if there are too many mouths to feed, too many demands on the table."
The markets reacted well when the new government said it would start tackling the deficit immediately. Other expected legislation is a plan for a banking levy and a commission to (3)_____________________________and investment banking.
