Peretz and Ollmert join forces.

It is now decided. If there were any doubts at all, it has now been decided:

Ollmert will let Peretz into the coalition.

This will mean, regardless of what official assurance they offer, that the economic reforms of Netanyahu are dead. They will now allow Labor, by their very presence in the coalition, to lend credence to the ideas of socialism, while discrediting the very idea of a free market.

Nevermind whatever free-market reforms Netanyahu performed were minimal at best and thoroughly half-assed. Nevermind the corruption of Netanyahu's entourage. What the electorate remembers – and will be reminded day after day by Peretz and his men – is that this is the free market.

Let us ignore the fact that the course of privatisation and deregulation will now be slowed down if not stopped altogether. Let us ignore the fact that Labor lacks any fiscal responsiblity whatsoever – their representatives shout down Stanley Fisher because he, they say, "has no authority to speak about economics. The mere fact that they will act, consciously and deliberately, to discredit free-market ideas, should be enough.

Yes, I know Braverman, Peretz's second-in-command, claims to support the Irish or Swedish economic model (nevermidn the two are not the same), which would involve deregualtion of the market and taxing the resulting prosperity to help the poor. Does anybody really trust this guy?
Not that I would be disappointed if my expectations proved false...