As the looming government shutdown continues to inch closer at the start of the new year, neither party is close to finding a resolution or agreement on passing a new budget for 2021.
The impasse began in late December when the current Administration proposed a $2,000 stimulus check in the new budget bill that Democrats were eager to pass, but which Republicans heavily opposed. Both parties could not reach an agreement on the budget, likely due to increased tensions between the Democrats and Republicans following the 2020 election.
The government shutdown presents new hardships for the U.S. if no deal is reached in the coming days. On December 29th, the government’s partial shutdown began as a result of the deadlock in the budget talks, and a government-wide shutdown could be hastened on January 1.
A government shutdown would have a far-reaching impact on the economy. Firstly, non-essential government agencies, such as the Interior Department, Environmental Protection Agency, and Small Business Administration, would close or drastically reduce their operations.
Additionally, government programs such as unemployment insurance, SNAP, and WIC would be impacted due to a disruption in the payment process, leading to depleted savings and increased stress on those who rely on these government services for financial stability.
The government shutdown would also impact military personnel, as employees of the Defense Department could be furloughed if no agreement is reached. This could have serious repercussions on military operations and national security, as troops would be unable to access needed resources and supplies for training or overseas deployments.
This situation is especially dangerous as the coronavirus continues to surge across the country. With the lack of government programs coming to a halt, it could be difficult for those most vulnerable to the virus to receive medical help or financial assistance they need.
It is clear that the government shutdown presents a burden to the American people and the economy, and both parties must find a resolution fast if they wish to prevent any more unnecessary hardship.