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    Home»Economy»Another Shutdown Looming  | Armstrong Economics
    Economy 2 Mins Read

    Another Shutdown Looming  | Armstrong Economics

    Economy 2 Mins Read
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    The Democrats may have walked away from this shutdown with their tail between their legs, but the fight is not over. The paper-thin deal will fund the government until January 30, 2026. Congress must agree on long-term funding before the end of January to prevent another shutdown.

    Republicans will not waver on Obamacare subsidies. The Democrats must save face by pushing forth pieces of their initial proposal, namely Obamacare, but it seems unlikely that a deal would be made in such little time. Congress effectively passed the measure to take the holidays off.

    The public can believe that the government is up and running from Thanksgiving through Christmas and New Year’s. Federal workers can have a temporary sense of job security, and holiday travel can continue largely uninterrupted. Most importantly, it will prevent the public from losing trust in the US government. The federal government should not risk yet another debt downgrade due to the misbehavior of politicians.

    Congress should NOT receive payment during a shutdown. Their inability to reach a bipartisan agreement added tens of billions to the national debt.

    Two sides of the aisle cannot agree on anything. I explained at the 2024 World Economic Conference that the Democratic Party was on the brink of extinction. Our computer has forecast that the Democratic Party will split and collapse just as the Federalists did for pretty much the same reason – dictatorial power from a centralized government. Initially, there were the Federalists v the Democratic-Republican Party. After the Federalists were defeated, the Party of Jefferson eventually split in two, becoming the Democrats and the Republicans. The Democrats became the South and supported Slavery. The Republicans were once known as the Party of Lincoln. They switched roles somehow when the Republicans opposed the rising Marxist policies of the late 1800s.

    The Democrats reached their peak with our model in 2021, following that election, and we have been in a bearish decline for five years, continuing into 2026. They do not appear viable by the time we reach 2030. We may see a split for any election in 2028, fragmenting the political process. The United States itself may become a completely divided nation by 2036 if not earlier.



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