How Will the Sequester Affect Upcoming Economic Indicators?
“Every time we get a piece of economic news over the next month, the next two months, the next six months,” said President Barack Obama at a press conference on Friday, “as long as the sequester is in place, we will know that economic news could have been better if Congress hadn’t failed to act.”
If you’ve just emerged from your bomb shelter to survey the post-apocalyptic world that is America after Sequestration Day, here it is: “a slow grind that will intensify with each passing day,” according to the President. Over the next nine years, $1.2 trillion will be pulled out of the U.S. economy, with $85 billion in the next seven months alone. It’s old-hat and dramatic, but America just shot itself in the foot (at least we have healthcare).
The ultimate fallout? Over 750,000 lost jobs, and at least half a percentage point missing from our national growth statistics. Regional effects vary by nature and intensity, and the government has released its best estimates for the localized effects, but the overall impact remains fuzzy — no one is sure, but consensus is it will suck.
Here’s a look at some major upcoming economic indicators and how the sequester, if left unattended, could affect them…