US Government Shutdown Could Cost Economy Billions Weekly
A recent White House memo highlights that the US could lose $15 billion in GDP each week during the ongoing government shutdown. Treasury Secretary Scott Bessent has voiced concerns that the situation may worsen economic growth and adversely affect working Americans. While some experts warn of potential long-term effects on credit ratings and overall economic stability, others argue that government shutdowns rarely lead to lasting damage. The economic impact will largely depend on the length and scope of the shutdown, with sources forecasting a 0.2 percent decrease in GDP growth weekly. The uncertainty surrounding the shutdown continues to create challenges for the economic outlook, especially in a strong labor market amid fears of inflation. As the Senate remains deadlocked, the future consequences are becoming increasingly challenging to predict.
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