Is the US headline for another government shutdown?

SOAPBOX

clock

Morgan Stanley Investment Management's Andrew Harmstone on the likelihood of another Democrat/Republican showdown when US budget negotiations recommence early next year.

Policymakers have known for a long time that the ageing US population would raise the cost of financing major entitlement programmes, such as social security, and could lead to funding shortfalls. The 1994-1996 Advisory Council on Social Security Report stated: “Because of the ageing US population… the simple passage of time will put the [social security] system into deficit.” The problem has been growing inexorably to the point that the Congressional Budget Office (CBO) estimates that, if there are no changes in current law, by 2038, spending on social security and major healthcare prog...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

FCA's Rathi addresses Autumn Budget market abuse concerns

FCA's Rathi addresses Autumn Budget market abuse concerns

Pens open letter to Treasury Committee

Isabel Baxter
clock 04 December 2025 • 2 min read
More tax, less shelter: A slow-burn Budget for savers and investors

More tax, less shelter: A slow-burn Budget for savers and investors

'The Budget documents make for sobering reading for those trying to build up their wealth'

Laith Khalaf
clock 04 December 2025 • 3 min read
OBR 'deeply regrets' early release of Budget document

OBR 'deeply regrets' early release of Budget document

Mistaken release of Budget documents forced Richard Hughes' resignation

Linus Uhlig
clock 02 December 2025 • 3 min read