U.S. government shuts down again because House Democrats refuse to spend $5 billion on the border wall.

Amy Hamilton

2019-01-19 12:38:00 Sat ET

U.S. government shuts down again because House Democrats refuse to spend $5 billion on the border wall that would give President Trump great victory on his best-known policy. No other OECD democracy has such abrupt government shutdowns. Should the current U.S. government shutdown be about policy differences, House Democrats would try to achieve a compromise deal with the Trump administration.

Nevertheless, this congressional standoff is about presidential authority. President Trump must win this fight; otherwise, he would allow House Democrats to constrain his presidential power. A key concern is that President Trump may use his national emergency power to build the southern border wall. In this worse-case scenario, the eventual degradation of good government may continue.

In reality, the current U.S. government shutdown happens not because America is in turmoil: the country is not at war; the economy operates near full employment; and even Fed Chair Jerome Powell praises the robust economic outlook with low inflation and high productivity growth. The current government shutdown happens because President Trump needs to fulfill one of the most controversial campaign promises that his fervent followers favor. When the U.S. government reopens, both Congress and the Trump administration can revisit the comprehensive issues of border security and immigration reform without having to inflict financial pain on public employees in the specific form of furlough or work without pay.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

Federal Reserve raises the interest rate to the target range of 2.25% to 2.5% as of December 2018.

Charlene Vos

2018-12-22 14:38:00 Saturday ET

Federal Reserve raises the interest rate to the target range of 2.25% to 2.5% as of December 2018.

Federal Reserve raises the interest rate to the target range of 2.25% to 2.5% as of December 2018. Fed Chair Jerome Powell highlights the dovish interest ra

+See More

Basic income reforms can contribute to better health care, infrastructure, education, technology, and residential protection.

Daisy Harvey

2023-02-28 10:27:00 Tuesday ET

Basic income reforms can contribute to better health care, infrastructure, education, technology, and residential protection.

Basic income reforms can contribute to better health care, public infrastructure, education, technology, and residential protection. Philippe Van Parijs

+See More

The great reversal of antitrust merger review in America

Monica McNeil

2023-10-07 10:24:00 Saturday ET

The great reversal of antitrust merger review in America

Thomas Philippon draws attention to greater antitrust scrutiny in light of the rise of market power and its economic ripple effects. Thomas Philippon (20

+See More

President Trump tweets his key decision to oust State Secretary Rex Tillerson due to intense disagreement over diplomatic affairs.

Fiona Sydney

2018-03-07 07:34:00 Wednesday ET

President Trump tweets his key decision to oust State Secretary Rex Tillerson due to intense disagreement over diplomatic affairs.

President Trump tweets his key decision to oust State Secretary Rex Tillerson after several months of intense disagreement over diplomatic affairs. Trump so

+See More

Carol Dweck describes, discusses, and delves into the scientific reasons why the growth mindset often helps motivate individuals, teams, and managers to accomplish more with greater grit, focus, and resilience.

Dan Rochefort

2025-05-21 04:27:10 Wednesday ET

Carol Dweck describes, discusses, and delves into the scientific reasons why the growth mindset often helps motivate individuals, teams, and managers to accomplish more with greater grit, focus, and resilience.

Carol Dweck describes, discusses, and delves into the scientific reasons why the growth mindset often helps motivate individuals, teams, and managers to acc

+See More

Thomas Piketty frames economic inequality as a global phenomenon.

Apple Boston

2017-01-11 11:38:00 Wednesday ET

Thomas Piketty frames economic inequality as a global phenomenon.

Thomas Piketty's recent new book *Capital in the Twenty-First Century* frames income and wealth inequality now as a global economic phenomenon. When

+See More