The June 2-3 elections left the 200-seat parliament split down the middle.
The conservative Civic Democratic Party of Mirek Topolanek won the most votes in the election and through a coalition with the Green Party and center-right Christian Democrats holds 100 seats.
On the other end of the political spectrum, the Social Democrats, have 74 seats, and the Communists hold 26 seats.
Without support from the leftist parties, Topolanek's center-right coalition cannot survive a confidence vote required within 30 days after the president appoints the Cabinet and if it does survive, it will have difficulty passing legislation.
Topolanek wants to introduce a flat income tax for individuals and companies and to cut the budget deficit to levels that would allow adoption of euro in 2010. The Social Democrats and the Communists oppose most of Topolanek's proposed reforms, the AP reports.
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