The fight for control of the world’s oldest democracy enters a new phase today,. With the fall of the old government setting the stage for negotiations to form a new one.

But a surge by the Pirate Party [previously] and three other allies on the Left didn’t capture enough seats in parliament to ensure they would have the votes to form a new government, setting the stage for what are sure to be complex and heated negotiations.

The New York Times covers the fall of the old the old government:

Iceland’s prime minister announced on Sunday that he would resign, as the insurgent, anti-establishment Pirate Party capitalized on a wave of anger over corruption to come in second place in the country’s general election.

The prime minister, Sigurdur Ingi Johannsson, announced his departure on national television, after his center-right Progressive Party saw its share of seats in the…