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The political stalemate stemmed from elections that effectively split Parliament into three hostile fronts.
The constitution never envisaged a split parliament, with the upper house able to veto nearly every government bill.
The new government was formed out of necessity after national elections in February effectively split Parliament into three factions.
A split parliament will make it harder for any government to push through plans to revive the economy and cut public debt.
Ireland's taoiseach, Enda Kenny, has declared he will resign after a deeply split parliament could not agree on a new prime minister.
Analysts say his success hinges on whether he can lead his Liberal Democratic Party to victory in upper house elections in July, and end the split Parliament that undermined many of his predecessors.
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It ached again a few weeks ago when Socialist MPs were split in parliament over the most recent eurozone treaty: many abstained, and some voted against.
However, the new rules under which the election was held have resulted in a near-even split in parliament between the DPA and its rival, the Socialist Party of Albania (SPA), for the first time since the collapse of communism.
Sobering for everyone, however, are the questions that loom if there is a split between the Parliament and the presidency.
But the three parties together would barely muster half the seats, not a stable majority in a parliament split almost equally between right and left.
Indonesia's embattled president, Abdurrahman Wahid, warned today that the country could split apart if Parliament presses ahead with a move to impeach him.
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