# Senate CR Avoids Shutdown but Leaves Fiscal Crisis Unaddressed, Cato Expert Says 

As debt continues to rise faster than the economy, Americans face higher interest costs, reduced fiscal flexibility, slower economic growth, and an increasing risk of future inflationary financing.

August 4, 2026 • News Releases 

Ahead of the Senate’s expected vote on a [continuing resolution](https://zwly9k6z.r.us-east-1.awstrack.me/L0/https:%2F%2Fwww.appropriations.senate.gov%2Fimo%2Fmedia%2Fdoc%2Fdivision_a_continuing_appropriations_act_2027_appropriations_committee.pdf/1/0100019fcdd9773a-450b7c0a-c4ed-44b3-9254-d83fd927d7f7-000000/TUEyGac68MgU6Mba1OiTU2JmK2s=473) to fund the government into December, I wanted to share the following perspective from Cato Institute fiscal policy expert [**Romina Boccia**](https://zwly9k6z.r.us-east-1.awstrack.me/L0/https:%2F%2Fwww.cato.org%2Fpeople%2Fromina-boccia/1/0100019fcdd9773a-450b7c0a-c4ed-44b3-9254-d83fd927d7f7-000000/l-VZCIIXxvOSAA0hwAjH_QjDgJQ=473).

Boccia argues that shutdowns are costly distractions that fail to address the structural drivers of the nation’s deteriorating finances. She says the need for another continuing resolution reflects Congress’s failure to pass its annual appropriations bills, although she welcomes the provision preventing the Trump administration from centralizing additional federal grantmaking power in the White House.

In Boccia’s words, “*The continuing resolution avoids an unnecessary government shutdown, but it does nothing to address the nation’s worsening fiscal trajectory. As debt continues to rise faster than the economy, Americans face higher interest costs, reduced fiscal flexibility, slower economic growth, and an increasing risk of future inflationary financing. The main drivers of the fiscal crisis are health care and Social Security spending that continues on autopilot, alongside interest costs.”*

If you’re interested in speaking with Romina about the continuing resolution, Congress’s appropriations process, federal grantmaking, or the nation’s fiscal trajectory, I’m happy to connect you.

Best,

Ryan Carver 
***Media Relations Manager*** 
*540–589‑0573* 
Cato Institute 
1000 Massachusetts Avenue, N.W. 
Washington, DC 20001

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