Government shutdowns halt nonessential services and furlough federal workers

Government shutdowns, 101

Roughly a quarter of the US federal government's spending must be approved annually through a set of 12 appropriations bills in Congress. When they aren't, a government shutdown ensues, where federal agencies are legally barred from spending any further money on nonessentials. This explainer covers the basics of government shutdowns and their impact on the broader culture.

A history of every US government shutdown

There have been 21 shutdowns of the federal government in US history, a result of Congress's failure to pass appropriations bills in time. While the cause of most of the shutdowns stems from issues around the national debt and budget, a few originated in fights over unrelated policies. Dive into the history of each one with this comprehensive list.

The US government has shut down 22 times since 1976

This resource breaks down every federal shutdown since 1976, showing how long each lasted and the budget disputes that caused them—revealing how routine funding failures have become in modern US politics.

Government shutdowns can cost the US economy billions

The Congressional Budget Office estimated that the 2018-19 shutdown reduced economic output by about $11B, including a permanent loss of roughly $3B

Congress often uses stopgap bills to keep the government running

When lawmakers fail to pass a full budget, they rely on continuing resolutions to fund the government temporarily. This guide explains how CRs are enacted, how they function, and why they disrupt normal operations.

Federal spending falls into 2 categories: mandatory and discretionary

Federal spending is split between mandatory programs, funded automatically by law, and discretionary programs, funded through annual appropriations. This video breaks down which major programs fall into each category and why the distinction matters.

What happens if the US doesn't pay its debt?

A video created during the debt ceiling debates of 2021 outlining what would happen if the US failed to meet its debt obligations. Its lessons are applicable to today's debates.

States have stepped in to keep national parks open during shutdowns

National parks typically close during federal shutdowns, but in 2023, Arizona and Utah planned to use state funds to keep parks open—highlighting how shutdowns can disrupt tourism and local economies.

The federal debt ceiling 101

The debt ceiling periodically takes center stage as Congress debates whether to increase or suspend this self-imposed limit on its borrowing authority. Learn the basics on this crucial feature of US fiscal policy with this Q&A.

When the US hits the debt ceiling, the Treasury uses emergency measures to avoid default

After the US reached its debt ceiling in January 2023, the Treasury deployed "extraordinary measures" to keep paying obligations. This article explains the steps, how they work, and why they last only for a limited time. (Some readers may experience a paywall.)

The federal deficit is the gap between what the US spends and what it collects.

The federal government pumped $70 billion into transit amidst reduced ridership during the COVID pandemic

When ridership collapsed by 75% in the spring of 2020, Congress sent transit agencies nearly $70B to help them survive. But that money has largely run out, and ridership remains 14-28% below prepandemic levels, leaving many transit systems with large budget deficits.

The federal budget process begins nearly a year before funds are spent

Creating the federal budget starts months in advance. This resource explains each stage, showing how the president proposes priorities, Congress reshapes and approves funding, and federal agencies implement the final budget.

The US federal government employs roughly 3 million people

Tracking began in 1939, when the federal workforce consisted of about 1 million people. The total peaked in 1990 at 3.4 million, and hit a recent low in 2014 at 2.7 million.

Experts recommend preparing your finances accordingly if you're expecting to be laid off soon, taking actions such as looking into the cost of replacing employer-sponsored benefits like healthcare.

See how local, state, and federal governments divide the cost of public services

Federal, state, and local governments share responsibility for funding public services. Education, roads, and social programs are funded through a complicated mix of taxes and intergovernmental transfers.

Treasury bonds, notes, and bills are critical vehicles for the federal government to raise money for public expenses and manage the national debt.

Track how much the US government has spent on bailouts.

New Deal programs still shape mandatory federal spending today

Many of the largest items in today's federal budget—especially mandatory programs—trace their origins to Franklin D. Roosevelt's New Deal. This podcast explores how those policies reshaped federal spending and government responsibility.

The US debt ceiling is the threshold Congress sets for federal borrowing.

The Federal Emergency Management Agency leads the US response to disasters

Established in 1979, FEMA coordinates the government's response to hurricanes, wildfires, floods, and other disasters, providing funding, logistical support, and recovery assistance. In FY 2024, the agency spent $35.1B, nearly 40% of the Department of Homeland Security's total budget.

See a chart showing how much the US federal government pays in interest on its debt.

If the US government paid off its debt, it could disrupt the entire bond market, as Treasury bonds are among the most common bonds for investors and the majority of the national debt is in bonds.

The federal government has spent more money annually than it has collected every year since 2022.

No institution wields more power in US finance than the Federal Reserve, the central bank of the US—but opinion polls indicate that most Americans don't know what it does.

Use this calculator to find out the programs and services your federal income taxes fund.

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Visualize government spending with USAFacts to see complex federal budget data as clear charts and summaries, and explore where the money goes as well as how revenue, deficits, and debt change over time.

Federal government supports—but doesn't run—K-12 schools

The Department of Education contributes about 8% of K-12 funding and administers targeted grants, civil‑rights enforcement, research, and data collection. Crucially, it is legally prohibited from directing curriculum, personnel decisions, or instructional content, leaving that control to states and districts.

The debt ceiling is a legal cap on how much money the US government can borrow.

The national debt is growing at a faster rate than the economy.

Interest rates have historically been an indicator of the US economy's overall health.

COVID-19's shock to employment rates sparked some economists to fear deflation

COVID-19 simultaneously disrupted the supply chain and the labor market. Since the unemployment rate had hit record highs, some economists were worried that the supply chain would recover before the labor market. If that had happened, businesses would have been producing goods, but no one would have been able to buy them because they wouldn't have the disposable income to do so.

Congressional committees quietly shape most legislation

This video explains how 20 congressional committees—standing, select, and conference—perform much of Congress's work, from drafting legislation and holding hearings to overseeing executive branch agencies.

See how the executive branch of the US government works

The executive branch enforces federal laws and is led by the president, who serves as head of state, commander in chief, and chief diplomat. Supported by the vice president, Cabinet, and around 4 million federal employees, it carries out laws through 15 departments and dozens of agencies.

Learn how critical services, infrastructure, and people would be impacted by a US-scale blackout—a nationwide, long-term failure of the electric grid.

Tax policy can have a direct impact on the national debt, with past presidents' changes to tax codes inflating the deficit.

The National Housing Act established the Federal Housing Administration

During the Great Depression, 1,000 homes were foreclosed on per day, and half of the mortgages across the country defaulted. To address this crisis, President Franklin D. Roosevelt signed the National Housing Act. It established the Federal Housing Administration, which is still around today and helps protect lenders and buyers.

Congress can remove federal officials through impeachment

The United States House of Representatives has the sole power to impeach federal officials. The United States Senate then conducts impeachment trials and decides whether to convict and remove them from office.

Roughly $5T of stimulus money flooded the economy during the pandemic

Recessions can last anywhere from months to years. To encourage economic growth, governments use policy levers such as lowering interest rates or introducing a stimulus. Economists credit massive stimulus funds for helping the economy quickly recover from a recession during the COVID-19 pandemic.

A recession is commonly defined as two consecutive quarters of shrinking GDP, but in practice, these economic phenomena are more complex.

The Federal Reserve fought the Great Recession primarily with quantitative easing and repurchasing agreements.

During COVID-19, the Fed made drastic moves in attempts to shore up the US economy called quantitative easing

The Fed took an aggressive approach to help the US economy during COVID-19 beyond standard monetary levers, including broad purchases of mortgage-backed securities, Treasury securities, and more.

Nearly half of the discretionary funding in the US is allocated to national defense.

The Constitution gives Congress sweeping control over the federal budget

Article I, Section 8's Spending Clause authorizes Congress to tax, pay debts, and promote the "common Defence and general Welfare," making it one of Congress's most powerful tools—and the constitutional foundation of federal budget control.

The federal government sent roughly $1.1T to state and local governments in 2024

Federal grants support a large portion of state and local budgets, funding Medicaid, infrastructure, education, and housing. In FY 2024, these transfers made up about 16% of total federal spending.

Congress has handled past crises through emergency lawmaking and institutional expansion

In a 2020 podcast from the National Constitution Center, historians and political scientists examine how Congress navigated past national crises—particularly the Civil War—and what those moments reveal about governing today.

Transit is funded through a three-tier system, and the federal government is the smallest piece

In 2019, the federal government covered about one-sixth of the $79B spent on public transit. States and localities make up the rest. About 85% of all transit trips are taken by bus or heavy rail, and nearly 4 in 10 US transit trips occur in the New York City metro area.

Congress is passing fewer laws than in previous decades

A Reuters analysis shows that legislative output in the US Congress has declined as polarization deepens, bipartisan cooperation erodes, and lawmakers rely more on sprawling, must-pass spending bills rather than regular lawmaking.

The current federal budget, deficit, and debt, in charts

The US Treasury regularly publishes updated data on the federal budget, and this site hosts visualizations of that data. See reports on spending, revenues, deficits, and where the national debt stands.

The House of Representatives controls the $7T federal budget

The House holds the exclusive "power of the purse" to initiate revenue bills, a provision in the US Constitution designed to divide power with the Senate and give states with larger populations greater influence over federal budgeting.