Government Shutdown Looms, Threatening $15B Weekly GDP Loss
A government shutdown looms, threatening widespread economic disruption across all 50 states. Job losses, benefit cuts, and reduced consumer spending are among the potential consequences, with the United States economy at risk of losing billions in GDP each week.
The impact of a shutdown is far-reaching. All states are likely to face job losses, with over 43,000 additional unemployed Americans expected after just one month. This is due to lost wages from furloughed workers and reduced federal contract spending, which will decrease consumer spending across the board.
Vital support programs are also at risk. Women and children in need could lose access to WIC benefits, with Kansas and New York among the states facing uncertainty and potential disruptions. SNAP benefits may also face disruption after 30 days, further impacting vulnerable populations. The decline in these programs, along with reduced consumer spending, is expected to lead to a decline in state GDP.
The potential impacts of a government shutdown are severe and far-reaching. With job losses, benefit cuts, and economic decline, all states are at risk. The United States economy could lose $15 billion in GDP each week, highlighting the urgent need for a resolution.
