How The Shutdown Hurts The Economy

gov_employees_2013The shutdown won’t happen all at once. The federal government is the country’s largest employer.

Federal employees who are considered essential will continue working. Those deemed non-essential — more than 800,000 — will be furloughed, unsure when they’ll be able to work or get paid again. Most furloughed federal workers are supposed to be out of their offices within four hours of the start of business Tuesday.

The shutdown could cost the still-struggling U.S. economy about $1 billion a week in pay lost by furloughed federal workers. And that’s only the tip of the iceberg.

While many agencies have reserve funds and contingency plans that would give them some short-term leeway, the economic loss would snowball as the shutdown continued.

Source: CNN

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News Talk Florida Staff