Lebanon Today
The government shutdown continues in the United States of America, due to the failure of negotiations between the Republican and Democratic parties on financial issues, raising concerns about slowing economic growth during the last quarter of this year.
Economic experts estimate that this shutdown negatively affects the gross domestic product, as it is reduced by between 0.1 and 0.2 percentage points per week, due to the cessation of work for approximately 700,000 federal employees, in addition to granting others unpaid leave.
In this context, the economist Gregory Daco stated that the shutdown “will not push the economy into recession, but it will leave permanent losses on families that have reduced their spending.”
On the other hand, some states, such as New York and Texas, warn of the possibility of suspending the food assistance voucher program if the crisis continues until November, while the state of Pennsylvania has already announced the suspension of this program as of October 16. This shutdown is considered among the most widespread in the country’s history, as it includes the defunding of all federal departments.
source: 961 today
