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Government Shutdown Has Widespread Impact

The federal government shutdown has a broad economic impact in Ohio. Former Columbus Chamber of Commerce economist Bill LaFayette now runs a firm called Regionomics. He says government installations that purchase goods and services from Ohio suppliers are unable to do so, hurting local businesses. LaFayette says businesses will also suffer as those who are out of work cut back on household expenses.

And with thousands of federal workers in Ohio doing without a paycheck, many cities and villages will collect less sales tax revenue. The shutdown also means data from government agencies is unavailable. LaFayette says that makes it hard to follow economic trends.


LaFayette says when the shutdown ends, it will take time for the economy to get back on track because of lingering uncertainty.


The last time the government was shut down was in 1996, when Governor John Kasich chaired the U.S. House Budget Committee.