Portugal Legislative Elections, 10/04/2015

[Hydera]

Maybe OP of that thread got upset or something?

[Hydera]

So if a plurality PSD/CDS government gets blocked by PS and the other left wing parties i assume there will be another election?

[Hydera]

So unless PS somehow decides to attempt to make an deal with the other two left wing parties and they actually agree to it.

Im guessing Portugal is now in the unofficial rule of a PSD-PS grand coalition in all but name?

[Hydera]

PS should let PSD form a minority government, wait for them to come up with an austerity budget, and promptly refuse to vote it. Then new elections would be called, and PS would be well positioned to win them.

Then PS declares new borrowing, Portugal's interest rates rise and borrowing becomes too expensive.

PS asks merkel for money.

Merkel says no.

PS backtracks and readopt austerity measures OR New elections

They win

Merkel still says No

PS backtracks and adopts austerity measures.

In case you think borrowing rates won't rise. It did back in 2011.


http://cdn.tradingeconomics.com/charts/portugal-government-bond-yield.png?s=gspt10yr&v=201510032352h&d1=20050101&d2=20151231