The federal government shutdown results in about $150 million in lost wages every day, according to a new private-sector analysis.
Some 373,000 federal jobs are in the D.C. metro area, which includes counties in Northern Virginia and Maryland, according to Charlie Dougherty, an economist with the economic and financial analysis firm IHS Global Insight. If the government stays closed for two weeks, Washington’s fourth-quarter economic growth will be a full percentage point lower than it would be otherwise, he found.
“[T]he effects will ripple out to industries not directly involved, such as the leisure and hospitality sector, which depends on the disposable incomes of federal workers to operate and might see a drop in sales receipts,” he said in his analysis.
Federal employment has fallen every month this year and is 3 percent down on an annual basis, Dougherty notes.