Show Me the Money! Sen. Warner Wants Shutdown Cost Data
Sen. Mark Warner (D-Va.) wants a price tag fixed to the partial government shutdown. In a Thursday letter sent to the Government Accountability Office, he asked for a study to understand the full impacts of the shutdown. Warner chairs the Senate Budget Committee’s Government Performance Task Force and has served in the Senate since 2008. If the GAO complies with his request, it will be the latest data in a string of estimates.
Before the shutdown, Moody’s Analytics chief economist and co-founder Mark Zandi submitted a written testimony to the Joint Economic Committee. By Zandi’s estimates, “shutting the government down for three or four weeks would do significant economic damage, reducing real GDP by 1.4 percentage points in the fourth quarter.”
Ratings agency Standard & Poor’s analyzed the economic impact on October 16. The firm expects that in the fourth quarter, the U.S. economy will lose out on $24 billion. This figure represents a 0.6 percent loss in gross domestic product growth due to the shutdown.
On Tuesday came the White House’s figures, calculated by the Council of Economic Advisors. The group tracked eight indicators and concluded that the data from those numbers corroborated the estimate of reducing expected GDP growth for the fourth quarter by one-quarter of a percentage point as a result of the shutdown. It also calculated that for the first two weeks of October, 150,000 private sector jobs were lost.