Posted May 08, 2018 06:59:16 When the federal government shuts down, the private sector can’t come to your rescue.
And if it does, the repercussions are potentially catastrophic for the economy.
That’s what happened in May 2017, when the government shut down because of the debt ceiling crisis.
But now, with the Trump administration’s latest move, the federal shutdown is being used to punish businesses and individuals in other ways, including through the imposition of fines, the loss of federal contracts and the suspension of federal programs.
These penalties could have a cascading effect.
For instance, fines and sanctions could make it harder for companies to attract employees, while a reduction in federal contracting could affect the ability of federal employees to perform work that federal workers would normally perform.
And a suspension of the federal Employee Retirement Income Security Act could lead to the loss or suspension of many of the benefits that help Americans save for retirement.
To better understand what these consequences might be, the National Association of Manufacturers released a report last week detailing the consequences of the government shutdown.
The report says that the government’s shutdown could cost the U.S. economy more than $1.2 trillion in lost economic activity and that a loss of 10% of U.s. gross domestic product could cause a recession.
The economic damage could reach into the trillions of dollars.
It also says that if the government were to shut down in 2017, about half of all federal contracts would be lost.
The NAM report notes that there are currently 2,700 companies in the federal workforce that are facing potential layoffs due to the government closure.
The government shutdown could also affect the private-sector economy, too.
As a result of the shutdown, there are now a growing number of people who do not have work and would have been eligible for unemployment benefits had the government remained open.
That could make those people even more vulnerable to the vagaries of the market and the vagabonds of the unemployed.
The uncertainty that comes with the government shutting down is one of the primary reasons that businesses have become reluctant to make new hires, according to Mark Blyth, vice president of business development at the National Business Group, an organization that advocates for small businesses.
The shutdown is already having a detrimental impact on businesses.
According to Blyst, if the shutdown were to continue for one year, it could lead companies to cut back on hiring.
And that could have ripple effects beyond the shutdown.
For example, Blyt says, if businesses cut back, they could find it difficult to attract qualified workers.
And as the shutdown has continued, there have been more and more business owners and executives who have decided to take advantage of the opportunities that the shutdown could provide.
For some companies, it’s been a tough decision.
In some cases, businesses have decided that it is financially better to make the shutdown a permanent one.
For others, it has led to layoffs.
But for many businesses, it will be the right thing to do, Blevins says.
The good news is that businesses are starting to adjust, he says.
“The economy is in a very positive position right now.
The economy is growing at a pace that is not sustainable.
There’s a lot of uncertainty, there’s a big problem with the budget, there is a lot going on with immigration, there may be a lot more things that we need to figure out.”
Blevin says he believes that if businesses were able to take steps to get back on their feet, they would not be as hesitant to hire workers.
“It’s not going to be a long time before the government comes back, and the economy will be stronger,” he says, “and the economy is going to start picking up.”
For businesses, the best way to keep their operations going during the shutdown is to remain patient, Bledsoe says.
Bledsole says he’s glad to see businesses making the decision to stay open.
“There’s a little bit of fear in the marketplace right now,” he said.
I think the government needs to come back and try to do what it needs to do to stabilize the economy, and it’s time for businesses to start making the decisions they need to make.”