January 19, 2007 1:11PM 

# The Czechs (Finally) Have a New Government 

By [Marian L. Tupy](https://www.cato.org/people/marian-l-tupy) 

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The 7‑months-long political stalemate in the Czech Republic ended this morning. The Czech Parliament approved a coalition government consisting of the liberal Civic Democrats, conservative Christian Democrats and centrist Greens. The new government is committed to a flat individual and corporate tax rate of between 17 percent and 19 percent (to be determined during pre-budget negotiations), and slashing regulation and state expenditure.

A last-minute desertion of two MPs from the socialist opposition enabled the government to squeak through, but the government remains in a precarious position. With only a 100 seats in a 200 seat Parliament, the government’s reform program will be difficult to push through.

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