Extended Government Shutdown 'Would Certainly Harm' US Economy - Federal Reserve Chair

WASHINGTON (Pakistan Point News / Sputnik - 11th January, 2019) An extended government shutdown would certainly damage the US economy and affect otherwise optimistic prospects for continued growth, Federal Reserve Chairman Jerome Powell said in a speech at the Economic Club on Thursday.

"Longer government shutdown would certainly harm US economy and growth projections," Powell said. "If we have an extended shutdown, I think that would show up in the data pretty clearly."

In the short time term, government shutdowns typically do not leave much of a mark on the economy, Powell stated.

US Donald Trump's most recent talks with House of Representatives Speaker Nancy Pelosi and Senate Minority Leader Chuck Schumer on Wednesday night unraveled after the president walked out of the meeting, calling it a complete waste of time.

The US federal government partially shut down on December 22 after Democrats refused to provide Trump with $5.7 billion to build a wall on the southern borer.