Introduction

When Washington runs out of time, it is not the sirens that go on but the lights that slowly go off. While politicians argue in Congress about principles, paychecks pause, park gates close, and sciences halt. The United States of America has seen various shutdowns throughout its modern history: the 1995–96 winter, the Obamacare standoff in 2013, the 35-day shutdown of 2018–19 (which holds the record for the longest shutdown), and many others. History repeats itself and teaches the same lesson: turning off the government does not settle arguments but only shifts the cost to the average American far from the negotiating room. Yet on the altar of the deadline, brinkmanship keeps passing for a viable strategy. The Antideficiency Act is not just a metaphor but a rather dangerous tripwire. What comes after a shutdown is not just a mere inconvenience but a slow and painful bleed of trust that no press conference can ever restore. Today comes as yet another example of times when division disrupts the flow of governance.

What is a shutdown ?

A U.S. federal government shutdown occurs when Congress fails to enact regular appropriations or a temporary continuing resolution (CR) and the president has nothing to sign. Under the Antideficiency Act, governmental entities cannot spend funds without an appropriation, apart from those that protect life and property, causing a great many operations to freeze. Hundreds of thousands of civil servants and federal employees are furloughed, while some work without pay until funding resumes.

The Antideficiency Act prevents government agencies from spending without appropriations. The Office of Management and Budget (OMB) and agency contingency plans decide on services deemed too necessary such as law enforcement, air traffic control, etc. The fact remains that even if some services are spared, pay stops, services pause, and programs narrow to bare minimums.

Why do shutdowns keep happening ?

The U.S. budget process is unusually fragmented as Congress must vote for and pass 12 separate appropriations bills each fiscal year or rely on short-term continuing resolutions. This process creates several veto points where factions can leverage deadlines to demand policy concessions usually unrelated to basic funding. It is a bargaining method where deadlines push for attention, costs are diffuse, and different sides hope to gain leverage inside its own coalition, many times against public opinion.

The human and economic toll

Shutdowns are not just pieces of drama. During a lapse, hundreds of thousands of federal employees receive back pay after government reopens while federal contractors that handle janitorial or cafeteria services for instance, do not. These missed or late paychecks heavily weigh on families and local economies as national parks related tourism halts and research timelines falter. On a macroeconomic level, national output drops during shutdown periods to usually bounce back after government reopens. The 2018-2019 shutdown caused, according to the Congressional Budget Office, an estimated loss of $11 billion to GDP with about $3 billion that remained unrecovered. 

A short history of long standoffs

The shutdown fashion only started during the 1980s with the first ever shutdown taking place on November 23, 1981, under President Reagan. Although only lasting for a few hours, this first shutdown created a lasting legacy for the decades to come. More famous shutdowns happened in history like the 1995-1996 shutdowns that lasted for 26 days due to differences on spending levels and Medicare. The blame largely fell on Congress as President Clinton’s approval rate saw improvements over that period. More recent cases include the 2013 shutdown that went for 16 days after conservative factions in Congress tried to defund the Affordable Care Act (ACA). The outcome was a loss for conservatives as the law survived, and Congress yet again took the brunt of public disapproval. The record of the longest shutdown is held by the 2018-2019 shutdown due to differences on the border wall funding. The shutdown continued for 35 days with 800,000 federal employees furloughed or unpaid and an estimated loss of $11 billion in GDP.

History shows that shutdowns come following a pattern that usually does not deliver big policy wins for the instigating side, but only reputational and economic losses.

Do shutdowns work ?

Measured against long-term policy change, history is unkind. 1995–96 ended without the cuts initially sought, 2013 didn’t stop the ACA, and 2018-19 ended with a declaration to redirect wall funds mired in legal and political controversy. Meanwhile, trust erodes. Periodic lapses teach citizens and markets that federal operations can be unpredictable, complicating planning on different levels going from large scientific research to small-business contracting.

Why do they persist anyway ?

The idea of shutdowns can be politically rational for a faction if the fundamental incentive stands on confrontation over compromise. Blame is mitigated across many while it enjoys immediate attention, and historical precedents that push them to think that if brinkmanship once worked it could be used again and again.

The stakes beyond the headlines

The United States government manages immense projects: from Medicare and interstate highways to space exploration missions through their budgeting. Shutdown erodes its reliability. If elected officials wish to discuss deficits, change government directions, or reevaluate programs, there are other tools to do so. Simply turning off the lights is a cost that falls on the average American that sits far from the negotiating table.

Featured image: US Capitol building at sunset, Washington, DC, USA. Photo © Igor Link, uploaded May 24, 2023. Used under license.

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