How Hard Will a Government Shutdown Hurt the Economy?

Friday, April 08, 2011

US House Majority Leader Eric Cantor (R-Va.) speaks on budget negotiations and a possible government shutdown at the U.S. Capitol on April 7, 2011. US House Majority Leader Eric Cantor (R-Va.) speaks on budget negotiations and a possible government shutdown at the U.S. Capitol on April 7, 2011. (AFP/Getty Images)

With less than a day before the current stopgap budget bill runs out, President Obama met with Congressional leaders to try to prevent a government shutdown. But politicians are not just worried about the fallout a shutdown could have for their 2012 campaign. There is also a worry about the economic ramifications, which would ripple down from Capital Hill to Wall Street and, ultimately, Main Street.

Takeaway Washington Correspondent Todd Zwillich and Motoko Rich, economics reporter for The New York Times take a look at the extra costs that add up if a shutdown occurs.

Guests:

Motoko Rich

Produced by:

Kateri A. Jochum

Contributors:

Todd Zwillich

Comments [3]

listener

Why didn't the Democrat Congress do their duty and pass the budget on time last year?
Did they put their political interests over the interests of the nation?

Apr. 08 2011 10:05 AM

I'm a government employee - I work at a museum in Washington that will close its doors if the budget talks break down. I see myself as a public servant, and if the public, through their elected representatives, make the decision that I can best serve them by getting locked out of my office and starving in a gutter, then so be it - the people have spoken.

Just kidding! I'm mad as hell.

Apr. 08 2011 09:49 AM
Jason from Berkley, MI

I am a Federal Government employee. I do not have a huge nest egg to tide me over until the Tea Party and GOP finally find some common sense (which is never going to happen anyway). I will have to go without pay while all the bickering, squabbling, and postering continues.

If I have to suffer, I want everyone to suffer. I want the entire country to essentially grind to a halt so that people will realize that the budget debate is not a conceptual problem. There are real people involved and the shut down will have real and dire consequences. My only solace is knowing how badly this is going to hurt the GOP and Tea Party in the long run.

Apr. 08 2011 08:19 AM

Leave a Comment

Email addresses are required but never displayed.