Trickle-Down Economics and the Government Shutdown

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As the clock struck midnight and turned January 20th, exactly a year ago to the day President Trump took office, the government shutdown went into full effect.  Politicians on both sides of the aisle were unable to come to a compromise over DACA and the government shutdown. On Monday January 22nd, the senate approved a plan to reopen the government. The inability for compromise that weekend in the American government trickled down to her citizens.

Trickle-down economics has often been the  straw man argument for those that are opposed to supply-side economics. Trickle-down economics is a broad term that can include any policy that will be of net benefit to business owners and high income individuals, and one that will benefit middle and lower class individuals after a period of time. The Times was one media outlet that called the tax-cuts a Trickle-Down policy. The fallacy of Trickle-Down Economics is that the wealth will trickle down to the middle, and lower class. However, when applied to the government shutdown the burden has trickled-down to working class Americans.

For most Americans the ever dreaded April 15th date looms. As a result of the recently implemented tax bill, IRS attorneys have been on double duty answering legal questions and updating tax software. The IRS will now be short-staffed of 56% of its workforce. Americans are going to have an even hard time adjusting to the changes of the American tax code without the guidance of a fully-staffed IRS.As a result of the tax cut, 90% of Americans are going to see more take home money on their paycheck. Marcus Owens, who headed the IRS division dealing with charities and political organizations, said “It’s a virtual certainty that the larger paychecks will be delayed if there’s a lengthy government shutdown.”

Another group that was afflicted by the government shutdown was the Military. Military personnel will not be getting paid until a new spending bill is passed. A Pentagon memo stated: “All active duty uniformed personnel are to continue their duties, but they will not be paid until after the shutdown is resolved.”American armed forces who are risking their lives all across the world now must worry whether or not they will be paid in time. While addressing American troops in Jordan, Vice President Mike Pence spoke to the troops and said “Despite bipartisan support for a budget resolution, a minority in the Senate has decided to play politics with military pay, but you deserve better”

Back in January, 2017 Congressman Justin Amash tweeted Admitting that both parties routinely ignore the Constitution, reject the Rule of Law, and erode liberty is the first step to recovery.” It would be wise for both parties to take a long hard look at that statement while moving forward. They are undermining the American people by not having open discourse to solve problems.

While an extended government shutdown was ended, it should have never gotten there in the first place. What must happen on Capitol Hill, is that politicians must come together to find a resolution on the behalf of the American people. Their inability to draft a bill that they all agree on caused American citizens to deal with extraneous problems.  There must be open discourse in order to understand both sides of the issue and find an agreement that will work for Americans. They are the forgotten men and women that have been affected as a result of this government shutdown.