The Trump administration has reportedly warned the shutdown could cut billions from weekly GDP and leave 43,000 more people jobless if it lasts a month.
Shutdown Could Cost $15 Billion Weekly
A White House memo, obtained by Politico, outlines the potential economic fallout from the shutdown. The memo, prepared by the Council of Economic Advisers, is expected to guide the Republican Party’s response to the shutdown and will be shared with Republican lawmakers.
The memo highlights the potential loss of $15 billion in GDP per week, with a month-long shutdown potentially leading to an additional 43,000 unemployed individuals. The memo excludes the 1.9 million federal civilian employees who are either furloughed or working without pay, with about 80% based in the Washington area.
A month-long shutdown is projected to cut consumer spending by $30 billion, with half of the losses falling on federal employees and the remainder spilling over to other sectors, according to the memo.
Federal Services To Be Hit Hard, No Impact On Bond Ratings
The memo also warns that a government shutdown would …