Post
Topic
Board Economics
Re: US Government Shutdown
by
halfawake
on 12/10/2013, 06:15:22 UTC
The word "shutdown" is pretty fricking misleading.
60% of employees are still working. The remainder are on unpaid leave and every time this happens, they end up getting back pay after the shutdown is over.
80% of the money is still being spent. This means that even a "shutdown" US Government runs at a deficit.

It's political theater, and not much else.

I have mixed feelings about this.  In one sense, I'm inclined to agree with EmperorBob here.  Unless you had a trip planned to go to a National Park, or work for the federal government, the government shutdown doesn't affect most people.  Oh, and I should add, unless you happen to own a retail business near a major federal employer.

For anyone who doesn't fall in those conditions, yeah, I can understand the shrugs and yawns about the government shutdown.  The mail is still getting delivered, and the trash is still getting picked up, so it's kind of a yawn to those who aren't directly affected by it. 

Having said all that, this is peanuts compared to what will happen if the US actually does default on its debt, as is the looming danger.  If you live in the US like I do, and happen to have any overseas vacation plans, you might want to cancel them if this actually does happen, because the US dollar will almost certainly plummet if the US federal government defaults on its debt.  I don't, thankfully, have overseas vacation plans.  Nevertheless, I wouldn't be surprised if this debt thing happens, and if it does, I also wouldn't be surprised if it induces a major recession.