Spain. According to
countryaah, government formation after the elections held in
December 2015 dragged on, when what was, in practice, a
two-party system was dissolved in the election success of
the left-wing Podemos ("We Can") and the liberal Ciudadanos
("Citizens"). Conservative People's Party (PP) with Prime
Minister Mariano Rajoy remained as Minister of Expedition
while attempts were made to stitch together a coalition.
The Socialist Party PSOE soon emerged as the King after
the party leader Pedro Sánchez announced that the Socialists
would not even passively - through abstentions - support a
minority government on the right. But the PSOE had no chance
of forming government with the two party parties, as Podemos
demanded a referendum in Catalonia on leaving Spain while
Ciudadanos was originally formed to prevent just that.
Sánchez likewise made fruitless attempts to form a coalition
with one of the two and the support of small regional
Finally, in May, the new parliament dissolved and King
Felipe announced new elections. In the June elections, PP
remained the biggest and strengthened its position slightly
while the PSOE backed for the third consecutive election.
However, the elections did not bring about any major changes
and did not resolve the government issue.
Gradually, Sánchez's line against the PP faced increasing
criticism within his own party, with many fearing that the
result would be yet another election and that the party
would then lose even more seats. In the end, the
contradictions in the PSOE became so great that the party
leadership deposed Sánchez and agreed to allow the PP to
form a minority government. Thus, over ten months of
political stalemate was over.
The economy continued with a cautious recovery. Growth
was one of the highest in the euro zone and unemployment
fell to below 20% for the first time in six years. At the
same time, government debt increased over 100% of gross
domestic product for the first time in over 100 years.