WASHINGTON (AP) — Plunged into a government shutdown, the U.S. is confronting a fresh cycle of uncertainty after President Donald Trump and Congress failed to strike an agreement to keep government programs and services running by Wednesday’s deadline. Roughly 750,000 federal workers are expected to be furloughed, some potentially fired by the Trump administration. Many offices will be shuttered, perhaps permanently, as Trump vows to 'do things that are irreversible, that are bad' as retribution. His deportation agenda is expected to run full speed ahead, while education, environmental, and other services sputter. The economic fallout is anticipated to spread nationwide.
“We don’t want it to shut down,” Trump said at the White House before the midnight deadline. But the president, who met privately with congressional leadership this week, appeared unable to negotiate any deal between Democrats and Republicans to prevent that outcome.
This marks the third time Trump has presided over a federal funding lapse. The political division over budget priorities has only deepened, reflecting a climate that rewards hardline positions rather than traditional compromises. Democrats are eager to challenge the president's second-term agenda, particularly demanding funding for expiring health care subsidies under the Affordable Care Act, which will spike insurance premiums for millions.
Republicans, on the other hand, have refused to negotiate, encouraging Trump to stay away from talks. Following the White House meeting, the president posted a mocking video about the Democratic leadership, which many viewed as unserious and offensive.
Without any clear offramp from the standoff, the effects of the shutdown could extend well beyond the political realm, displacing many Americans who rely on government services and benefits. An economic jolt could be felt as early as this week with the expected release of the monthly jobs report.
While past shutdowns have caused the financial markets to remain stable, this one may result in different outcomes as negotiations show no signs of commencing. Trump’s Office of Management and Budget has directed agencies to prepare for mass layoffs, part of the administration's mission to reduce the size of the federal government.
Key programs, including Medicare and Medicaid, are anticipated to continue functioning, though delays may occur due to staffing shortages. Overall, the political dynamic showcases a significant challenge for both sides in devising a mechanism that allows for negotiation and resolution, particularly regarding escalating health care costs. As tensions mount, both Senate Democrats and Republicans seem entrenched in their positions, suggesting that a resolution may be even more difficult to achieve.
“We don’t want it to shut down,” Trump said at the White House before the midnight deadline. But the president, who met privately with congressional leadership this week, appeared unable to negotiate any deal between Democrats and Republicans to prevent that outcome.
This marks the third time Trump has presided over a federal funding lapse. The political division over budget priorities has only deepened, reflecting a climate that rewards hardline positions rather than traditional compromises. Democrats are eager to challenge the president's second-term agenda, particularly demanding funding for expiring health care subsidies under the Affordable Care Act, which will spike insurance premiums for millions.
Republicans, on the other hand, have refused to negotiate, encouraging Trump to stay away from talks. Following the White House meeting, the president posted a mocking video about the Democratic leadership, which many viewed as unserious and offensive.
Without any clear offramp from the standoff, the effects of the shutdown could extend well beyond the political realm, displacing many Americans who rely on government services and benefits. An economic jolt could be felt as early as this week with the expected release of the monthly jobs report.
While past shutdowns have caused the financial markets to remain stable, this one may result in different outcomes as negotiations show no signs of commencing. Trump’s Office of Management and Budget has directed agencies to prepare for mass layoffs, part of the administration's mission to reduce the size of the federal government.
Key programs, including Medicare and Medicaid, are anticipated to continue functioning, though delays may occur due to staffing shortages. Overall, the political dynamic showcases a significant challenge for both sides in devising a mechanism that allows for negotiation and resolution, particularly regarding escalating health care costs. As tensions mount, both Senate Democrats and Republicans seem entrenched in their positions, suggesting that a resolution may be even more difficult to achieve.
