Bloomberg News reports that a small group of Republicans were found responding to a shutdown deal last weekend. In response, they ousted the House Speaker Kevin McCarthy Tuesday. This is the first time a lawmaker protest successfully removed a House Speaker in the history of America.
Who Led the Revolt?
Rep. Matt Gaetz orchestrated the effort. He, along with seven other Republicans and up to 210 House Democrats, supported and voted yes for the resolution. No one has enforced this historic measure, known as vacating the chair, for over 100 years.
As the debate progressed on Tuesday afternoon, the result became clear. As such, lawmakers anticipated the probability of dysfunction in government activities shortly, leading to the days and weeks.
Views of Economic Observers
The economic observers point out that the gridlock likely to come will also have an economic impact. And this will be the last thing the government wants to do. They are also foreseeing an impending deadline of a government shutdown.
According to Stifel’s chief policy strategist of Washington, Brian Gardner, there are chances that the market will react negatively to government dysfunction as an immediate effect. Tuesday’s vote concluded in the afternoon after the markets had shut down for the day.
Greg Valliere, the chief US policy strategist associated with AGF Investments, asserted that no similar situation had ever been encountered.
Increased Probability of Government Shutdown
The ongoing chaos will likely increase the chances of a government shutdown next month. Chairman of House Ways and Means Committee Jason Smith said that this chaos would likely weaken the GOP negotiation position in future fights.
After last week’s deal, the lawmakers must search for another government spending compromise by November 17th. A whopping 335-91 vote in the House passed the 71-page measure, with 90 Republicans and 1 Democrat voting in favor. This has extended the shutdown deadline of the government. It has provided a disaster relief of $16 billion and has reauthorized FAA through the year-end.
