Recently, on November 12, 2025, the US government reopened its doors after a record-breaking 43-day shutdown—the longest in history. While federal workers are back on the job, many economists warn that the economic fallout may linger for years. 📉
According to a report by the US Congressional Budget Office (CBO) released at the end of October, this six-week shutdown shaved 1.5 percentage points off the annualized US fourth-quarter GDP growth rate. That’s a significant hit for what many hoped would be a short pause.
The CBO’s projections paint a sobering picture:
- By the end of 2026, reduced hours worked by furloughed federal employees could translate into an $11 billion loss in real GDP.
- An estimated $7 billion to $15 billion in economic output may never be recovered, thanks to stalled government services, delayed federal contracts, and ripple effects across various industries.
For young professionals and entrepreneurs keeping an eye on global markets, these numbers matter. Slower growth in the world’s largest economy can influence currency values, stock markets, and investment flows—impacting Asia, Latin America, and beyond. 🌐
Students and researchers should note how even short-term politics can have long-term economic consequences. Travelers planning trips to the US may have felt the delays firsthand—from passport renewals to visa processing slowdowns.
As the government resumes full operations, recovery will take time. But staying informed and proactive—monitoring policy shifts, market signals, and CBO updates—can help you navigate the post-shutdown landscape and spot new opportunities amid challenges.
Reference(s):
cgtn.com
