JERUSALEM Israel's next government is shaping up to be a narrow conservative coalition after designated Prime Minister Benjamin Netanyahu failed to strike a deal on Friday with the moderate Kadima Party."Unfortunately, I encountered a complete refusal for unity, a complete refusal to create joint teams to reach arrangements in order to find a common ground," Netanyahu told reporters after meeting with Kadima leader, Foreign Minister Tzipi Livni. "I found no willingness for unity by Livni." other major moderate party, Labor, has already stated its unwillingness to join a government led by Netanyahu's Likud Party. Livni said the main sticking point was Netanyahu's refusal to adequately commit to negotiations with the Palestinians that would lead to a Palestinian state. "A two-state solution is not an empty slogan," Livni said. "It is the only way in which Israel can maintain its existence as a Jewish and democratic state." She said the meeting ended "without agreements on issues which I find essential in any entrance to the government."
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