The Congressional Budget Office (CBO) released a report on Wednesday revealing the negative impact that the federal government shutdown could have on the U.S. economy. If Democrats extend the shutdown up to eight weeks, GDP growth for the fourth quarter of 2025 could be up to two percent lower.
CBO delivered the report to Congress in response to a request from House Budget Committee Chairman Jodey Arrington. In the report, CBO Director Phillip Swagel said that the length of the shutdown will determine the damage dealt to the nation’s economy.
“The agency estimates that the annualized quarterly growth rate of real GDP in the fourth quarter of 2025 would be lower by 1.0 percentage point in the four-week shutdown scenario, 1.5 percentage points in the six-week scenario, and 2.0 percentage points in the eight-week scenario,” Swagel explained.
He added that the shutdown will also cost the economy billions of dollars. “CBO estimates that, by the end of 2026, the reduction in hours worked by furloughed federal employees would result in a cumulative loss of real GDP of $7 billion in the four-week shutdown scenario, $11 billion in the six-week scenario, and $14 billion in the eight-week scenario,” he said.
This damage to the economy takes into consideration the rebound that will occur once the shutdown ends. He explained that the “output lost because furloughed employees worked fewer weeks during the shutdown would not be recovered.”
Arrington published a statement explaining that Democrats are “playing politics” and Americans are “paying the price” as a result.
“While Democrats believe ‘every day gets better for them,’ the same cannot be said for the American people. In fact, a six-week shutdown means growth would be 1.5 percentage points lower, an eight-week shutdown would reduce growth by 2.0 percentage points, and it only gets worse from there,” he said. “Democrats say they shut down the government to help Americans, but this Halloween they’re all trick and no treat. The American people deserve better.”
Rep. Lloyd Smucker of Pennsylvania shared a similar sentiment on X.
“Nobody wins in a shutdown. Democrats know that, and yet they continue to ‘leverage’ Americans’ pain for political gain,” Smucker said. “The nonpartisan CBO confirmed the Democrat-led Shutdown only hurts our economy more the longer Democrats refuse to open the government.”
As AMAC Newsline reported earlier this week, the American Federation of Government Employees (AFGE) union published an open letter on Monday calling on Senate Democrats to pass a “clean continuing resolution” and end the government shutdown. Senate Democrats have blocked the continuing resolution’s passage on 13 occasions since the shutdown began. Senate rules require at least 60 votes to pass most legislation, including funding bills.
Alan Jamison is the pen name of a political writer with extensive experience writing for several notable politicians and news outlets.
There needs to be a law that says that Congress doesn’t get paid during a shutdown. Probably will never happen because they control what bills are introduced to the floor of the House… but it’s only right.
In the middle of the article — Democrats “playing politics” as we, the people, are “paying the price” for the Demos babyish game. The voter had better remember who are truly behind this mess at election time.
If there is a shutdown,all of congress should not get paid.This bullshit of putting a lot of other things in a bill just to benefit them.vote on single line items only.Sounds simple enough., but will never happen. Career politicians need to go. Just my opinion.
Vote the Communist maggot Marxist Democrats out of office, Make America Great Again
Another reason the Democrats will not want to open the government up again. Anything that can damage Donald Trump they are for. It’s going to be interesting to see what the 800,000 employees of the government unions think about that. I can’t even wrap my mind around the fact there’s 800,000 government employees there’s probably like 200 of them that actually work
Send the bill to the Democrat Party (DNC).
The democrats with tyrant Schumer at the helm are bankrupting the country and its citizens with this shutdown. And over what. It’s a clean CR they have to vote for and then every American worker will get paid and tyrant Schumer and his comrades can sit down and hammer out a Medicaid and Medicare policy every politician can live with. But they don’t want that. They want dem policies only. Is it good for the citizens? that doesn’t matter. As long as Obamacare stays. They will not admit that Medicaid and Medicare need an overhaul. Raising premiums and lowering benefits is not the answer. Subsidizing policies is not the answer. As long as the democrats have hatred for Trump
and his supporters thry will not change. The progressives in the party want to destroy America so they can blame Trump. Plain and simple. Are we the people of America going to allow them to do that?
The Dumborats, except for Fetterman, are anti-America, power-hungry and FULL-FLEDGED COWARDS, who are too self-centered and terrified what the socialist communists in the party would do to them if they said SCREW YOU CHUCKIE, I’M VOTING NOW TO REOPEN THE GOVERNMENT.
Remember this Democrat voters next month and in 2026. Democrat politicians ARE AMERICA’S ENEMIES WITHIN.
Schumer should be charged with criminal negligence and slapped in irons and sent to SuperMax in Colorado.
Shutdown Schumer cares nothing about economics..
I understand that folks need to get paid for the work they do but why are so many dependent on government for their survival? 40+ million using SNAP? I know some folks can’t work or are seniors but we have too many who should be working who aren’t! Government doesn’t replace mom and dad when you become an adult! I think this shutdown shows how many government workers are not necessary and how many Americans are not productive! There’s way more fraud , waste, and abuse that could be cut so our debt could finally go down! I’m more worried about an America collapse than Democrats positions!
A clean sweep. Hold elections today, replace the whole lot of them.
I’ve said it before and I will say it again: we need to remember this when we vote. While the midterms are a year away two states are holding elections next week: New Jersey and Virginia. Let’s show the democrats from those states what we think of the Schumer Shutdown.
I stream and don’t see the legacy networks. Has the GOP run any ads pointing out the fecklessness of Schumer and his gang? They should! They are so eaten up with TDS that they are willing to destroy people’s lives!
To me the big picture must be grasped by true Americans. That is, that this falsity, that Chuck and all the others of his cadre of low-level politicians, is simply to use any and all means to create/foment chaos in America. Most citizens comprehend and certainly as most know, media flag waves for Dems/Destroyers. I became aware of Clower-Piven in the late 70s. They wrote a book essentially to destroy Western civilization/The U.S., by creating as anti-Americans, so much chaos and depravity to render the nation hapless/helpless. This is the weapon that all the AOCs, Chucks, Hakeems/Rashids /et al, use to scare the (your word) out of most Americans to destroy America.
DON’T WORRY, GOD KNOWS ALL ABOUT IT.
Democrats love for the country and the loving concern for the little man is on full display, will it open peoples eyes, that is the question.
This is just another example of the Democratic Party trying to destroy America and the American people!!! Furthermore they want to put blame for the shutdown on the GOP which stupid Socialist will believe along with the lies from the news media!!!!
Wrong focus. If the concern about the shutdown is that it is costing bureaucrats to lose money in lost wages and benefits, that is a consequential gain for taxpayers. Might be a net loss in the local swirling around flow of capital, but the nation is relieved. Schumer could do everyone a favor by leading all the dissident legislators straight out of D.C. never to return.
Why should they care? They have money, transportation, etc. Not like regular folk who actually have mortgages and families!
If our economy is going to take such a hit because of furloughed government employees then we have WAY too many government employees. This is a good time to fix that problem, even if it’s going to be painful to do it.
The DEMS own the shutdown
Need reforms to end shutdowns
Overhaul Govt
More cuts alone 24/7
If Trump would stop paying Congress maybe we could get the Dumocrats to pass the bill. Why are they getting paid and other branches of Gov. doesn’t.
This would be a good time to require everyone on government assistance to re-apply. You would have to apply in person and show proof of citizenship. Every county in America has a DFACS office. This would create thousands of American jobs to process these applications. If these subsidies are so important, you will make the effort to apply.
Sadly it means that the Democrats are fighting harder for illegals than for Americans
Schumer is a disgusting man. The Schumer shutdown is hurting so many people.
Sad people have become so complacent as to let the government play games while we the working class elderly ECT suffer the consequences
At the end of the day, these Democrats will never receive any justice for their tyranny.
I prey that these Democrats never ever hold political office again
Chuck Schumer and Hakeem Jefferies are intentionally shutting down the government in order to shut down the Trump administration. They don’t care about healthcare at all, they are both just suffering from Trump Derangement Syndrome. This is their means to their end.
Members of Congress and the Senate should not be paid until they come to some kind of agreement.
Wouldn’t you like the opportunity to vote on your own compensation package and benefits? The people should be voting for term limits, the ability to manage the compensation levels of elected officials.
The only good that is coming out of this shutdown is that the fraud and abuse of the SNAP program and other government “free” programs is getting exposed.
President Trump. Please do not use the “Nuclear Option” of eliminating the fillibuster. If you do, the very next time that the Dems have control in the House and Senate… They’ll be able to ram through any doggone thing they want. In the mean time, America Be Strong. This controversy will end. And we will all be better for it. This is Political Chess at it’s most raw example. Who caves in first…. Socialists or Americans?
Putin and Schumer are peas in a pod.
They are two old Communist turds who are at the end of their lives, and want to cause as much damage and misery as they can before they become extinct
Guess what. This is ALL on the socialist/democrats and a few RINOs. The American voters will see and remember on election day. These arrogant treasonous politicians don’t deserve to represent anyone, especially in our republic. Shame on them!!
Schumer is simply a commie pig who cares only for his ego, not the American people.
GDP being lowered due to the shutdown? I do not get it at all. No process that generates products is shutdown, manufacturing has not been shut down, food production not shutdown and the only shutdown is for things that our tax dollars pay for! What is the explanation of GDP going down, why GDP affected by shutting down the government?
The GDP shouldn’t measure government activity.
Well, hey! It’s only money! Sarcasm off.
You can bet that, if Chucky and the demon-crates get the $1.5 TRILLION for illegals health care. The (M1) money supply will drastically increase. Market interest rates will skyrocket and our living costs will go up. Just like it did during the Buy-den admin when they flooded the economy with between $5-$6 TRILLION stimulus.
Withhold Pay from the Chamber(s) that are holding up the budget.
The oath of office for US Senators states they are to “…support and defend the Constitution of the United States against all enemies, foreign and domestic;”. The domestic enemy right now for the Democratic Senators is hardening of there hearts. They do not care about the country as a whole and are without hope. They forget that President’s come and President’s go. The tide will turn but in the meantime the Republicans are in the White House and the people are waiting to be saved from a deficit of $37 Trillion dollars. There is no time to waste, but the Dems think there is and are purposely holding up the government, the US economy and food programs for selfish, selfish reasons… they are not letting God take charge and he is in control… not them. They are lost and soulless. Very sad.
“No pay for Congress during a shutdown”, should read “no pay for the members of any political party that shuts down Congress”! That would be all democrats.
Republicans were at their desks, ready to work, democraps were not!
And when democraps are in Congress all they do is spend America into more huge debt, trying to buy the votes of illegals.The democrat party should be outlawed as un-American!
WELL WELL WELL imagine if you will, a world where the dems/libs/commies/socialists ACTUALLYHURT the average TAX PAYING HARD WORKING LEGAL AMERICAN CITIZEN by their actions. They only protect the criminals, the illegal invaders, thosethat commit fraud against the government.
When will voters get smart and remove Schumer from our government. He is a sarcastic, jerk who will pay himself but the small job workers will never get reimbursed for the time that they work.
Voters – impeach this jerk.
I am amazed that EBT cards have NO tie to the recipient. If taxpayer dollars are going onto an EBT card.. ONLY the legal recipient should be able to use the card.
So tired of the political games. There is so much hatred for Donald Trump that the democratic party will oppose anything he and the republican party puts forward because their hate is bigger than their love of this country. The words they despise, “Make America Great Again” or MAGA should appeal to everyone. Remember, most democrats and even some republicans did not want Donald Trump to win the presidency. It is not because he is a big mean, evil person. He is no worse than anyone else in Washington. But, he now has access to all the stupidity, fraud, and corruption that has been going on for years and he and his team are uncovering it. I am okay with Making America Great Again for the betterment of All Americans. If you want the nonsense to stop, and you believe that Making America Great Again is a good thing, it is time to change your vote. It is okay to do so. No one is asking you to change your religion.
If I were the “bean counter” as the old term for an accountant goes, I wouldn’t count government ( tax payer ) paid jobs, etc as part of the GDP equation. The most accurate picture of the economy should be reflected only from free market economic activity.
One thing this “shutdown” is showing is just how big and economically influencing government has become. Karl Marx and Lenin would be proud.
I agree that Congress should not be paid during a government shut down. I am tired of watching Democrats lie to our faces. Either they believe the American people are very stupid to believe their BS, or THEY are just that stupid! Either way, they got to go! I will probably never vote Democrat again.
The government should not be able to shut it’s self down. They are to work for us not to make our lives miserable
The more the Demo’s talk the the lower their poll numbers go. You can’t fix stupid!
The radical liberals in Congress hate the USA and its people. Schumer is the leader of the bunch and he must be holding a knife to the throat of any liberal in the Senate since not one of them is budging except Fedderman. That is why these evil Democrats will not step out of line…they will be severely punished by party leaders.