Unless you are one of the more than 2.1 million federal workers either furloughed or working without pay due to the government’s latest conniption fit, chances are the shutdown has had very little effect on you. That is assuming you have not tried to check the panda cam at the National Zoo, do not follow the Mars Rover’s Twitter account or have not recently tried to visit a national park. The immediate effects of the shutdown have been decidedly underwhelming, but make no mistake — our representatives’ inability to pass a budget is taking a serious toll.
The shutdown is estimated to cost the U.S. economy $300 million a day, according to IHS Inc. In today’s dollars, the last time the government shut down in 1995 and 1996 the cost was estimated at $2.1 million, the majority of which was back pay to furloughed workers, so the real cost was in lost productivity. The 2013 shutdown has already affected Wall Street, as the Dow, S&P 500 and Nasdaq all went into decline. Meanwhile, the government’s inability to fund itself is certainly influencing our standing in the world. Coming on the heels of the administration’s reneging on its tough talk on Syria, the shutdown is causing many world leaders to question the U.S. ability to “lead the world”; this includes allies, such as Taiwan and Israel, who rely on American military support.
The shutdown and the political battles it has caused are a major thorn in the side of the administration as it tries to roll out the Affordable Care Act. Meanwhile, much of the Republican leadership is not too pleased with the situation either. Many GOP donors have stopped cutting checks. So if the situation is so dire and deleterious to both parties, why is no one doing anything to end it?
The blame is being spread thick on both sides. The Republicans claim that Senate Majority Leader Harry Reid and the president shoulder the responsibility because of their refusal to negotiate on the health care law. For their part, the Democrats argue that there are no negotiations to be had on Obamacare because it is the “law of the land” and has been held up by the “highest court in the land.” They blame a faction of “banana Republicans” for the shutdown, accusing tea party leaders of holding the nation hostage upon ideological grounds.
Unfortunately, the reason that neither side has taken real steps to resolve the shutdown is because it is not in their best interest to do so. Last Monday, on the first day of the shutdown, the Democratic National Committee enjoyed its largest day of fundraising since the 2012 election. Many Democrats see the “civil war” being fought between factions of the GOP as a chance to retake the House in 2014. They are not about to rush in to save their friends across the aisle.
On the Republican side of the equation, although top donors seem to be in revolt, many of the tea party leaders responsible for the stalemate do not receive their funding from the traditional money lines, according to the independent Center for Responsive Politics.
The only way out of this quagmire is through political will, and the charge is in the hands of House Speaker John Boehner. If Boehner allows a vote to fund the government, as well as the Affordable Care Act, the Democrats will most likely receive the 17 Republican crossover votes needed. However, Boehner knows that allowing a vote may bring political retribution from tea partiers in 2014. Nevertheless, something must be done.
The floor is yours, Mr. Speaker.
Orion Wilcox is a senior economics major from Bay St. Louis.
