Strike two

After Iceland, now Latvia.

The Finacial crisis has taken down a second government, this time the ruling four party coalition in Latvia.

economy is set to drop 12 percent this year, the Finance Ministry has
forecast.

Yesterday Vaclav Klaus was barraked by the Parliament, for amongst other things pointing out how the economy was not working as planned, indeed was not working because it was increasingly planned.

He said,

We must say openly that the present economic system of the EU is a system of a suppressed market, a system of a permanently strengthening centrally controlled economy. Although history has more than clearly proven that this is a dead end, we find ourselves walking the same path once again. This results in a constant rise in both the extent of government masterminding and constraining of spontaneity of the market processes. In recent months, this trend has been further reinforced by incorrect interpretation of the causes of the present economic and financial crisis, as if it was caused by free market, while in reality it is just the contrary – caused by political manipulation of the market. It is again necessary to point out to the historical experience of our part of Europe and to the lessons we learned from it.

Well I suspect that there ought to be a few red faces around, but I won't hold my breath.