V7.4.2: drop database does not drop schemas/table/data

I have a database 'testdb' with two schemas: 'public' and edinburgh'.
Public is empty, everything is in 'edinburgh'.

DROP DATABASE testdb;

Database no longer appears in list of databases in cluster. So far, so good.

CREATE DATABASE testdb;

Database appears again. But so does the schema 'edinburgh', all its
tables, views, data, etc.

 From reading the documentation, I thought that "DROP DATABASE" also
deleted all the underlying objects. In which case, this is a bug.

BTW, this is my first post of a postgresql bug. It would be useful if
your page
<http://www.postgresql.org/docs/current/static/bug-reporting.html> had a
link to where the "TODO LIST" and "FAQ" files can be found - it's not
obvious unless you already know!

Thanks
Rachel

PS: System is PostgreSQL 7.4.2 on i686-pc-linux-gnu, compiled by GCC gcc
(GCC) 3.3.2 20031218 (Gentoo Linux 3.3.2-r5, propolice-3-3-7)