White House: Shutdown Cost Is Double What We Said

ABC News reports:

The broader impact of the shutdown on the U.S. economy may be double what was expected, White House economists confirmed on Wednesday, Day 26 of the political standoff.

Meanwhile, thousands of employees have been called back to work without pay because of the risks posed for their agencies if, for example, airports continue to run with fewer aviation safety inspectors or the IRS heads into tax season down almost 60 percent of its workforce.

On the political front, no high-level talks are scheduled in the stalemate over the president’s demand for billions in funding for the wall that Democrats refuse to agree to.

The New York Times reports:

The revised estimates from the Council of Economic Advisers show that the shutdown, now in its fourth week, is beginning to have real economic consequences. The analysis, and other projections from outside the White House, suggests that the shutdown has already weighed significantly on growth and could ultimately push the United States economy into a contraction.

While Vice President Mike Pence previously played down the shutdown’s effects amid a “roaring” economy, White House officials are now cautioning Mr. Trump about the toll it could take on a sustained economic expansion. Mr. Trump, who has hitched his political success to the economy, also faces other economic headwinds, including slowing global growth, a trade war with China and the waning effects of a $1.5 trillion tax cut.