Due to a lack of compromise between the House and Senate regarding the federal budget and Obamacare, a temporary governmental shutdown ensued on Tuesday.
The Office of Management and Budget in a comprehensive study of a shutdown that occurred in 1995 and 1996 over the course of 27 days, ended up costing the federal government $1.4 billion, which translates to about $2 billion in today’s money.
This amount, in terms of government spending, is not economically threatening. As economist Holtz Eakin informs, “A short government shutdown is not a very important event; it’s a hiccup.”
Services that could be delayed or even shut down due to the shut down of the government include acceptation into clinical research at Nation Institutes of Health, FDA food inspections, and food assistance programs.