Trump appointees will undercut US federal programmes

Significance

Some hard-right members of the Republican congressional caucus argue that allowing federal spending to lapse and threatening a government shutdown could force legislators to approve steep cuts to the federal bureaucracy. As congressional factions, leaders and President Donald Trump’s administration weigh in on government spending, debates about the appropriate scope of federal agencies and programmes are likely to feature prominently.

Impacts

• Costly entitlement programmes are unlikely to be targeted for cuts owing to their popularity.
• Congressional allies of USAID will block Trump’s plan to consolidate it into the State Department.
• Empty executive branch-appointed positions will hinder the effective functioning of the federal government.
• The proposed abolition of the state and local tax deduction for federal taxes will place pressure on sub-national government programmes.