As of October 1st, the Federal Government of the United States has officially begun a partial shutdown for the first time in 17 years. In an incredible act of political brinkmanship, a debate between the House of Representatives and Senate over a clause in a stopgap budget has created an impasse between sides. The Republican controlled House is set on un-funding “Obamacare” (aka. Patient Protection and Affordable Care Act) legislation before it goes into effect…today. The Democratic controlled Senate and President Obama are loathed to let their hallmark legislation be un-funded, and have refused to sign anything which impinges on the PPACA. Unless some form of compromise can be reached, the government will be severely limited.
As such, up to 1 million Federal workers deemed “unnecessary” could be furloughed, with no prospect of pay for their forced vacation. The other government employees deemed necessary are heading into work, unsure of their payment or continued employment. Even the city of Washington D.C., which depends on the federal government for funding, is looking rather grim as their two week emergency fund is the only thing keeping garbage collected, streets clean, and other services flowing. Needless to say, the situation is incredibly tense.
http://www.youtube.com/watch?v=FMpHmy26M4Q
So how does this affect you, internationally conscious reader, who may be from any country around the world?
Well, this info-graphic does the situation some justice:
Government Shutdown- International Business Times
Beyond that, the State Department has funding for a few more weeks until they start furloughing in earnest.
Economically, the dollar has already fallen to a 8-month low and as time goes on GDP and the value of the Dollar are likely to fall even further. What may be scarier though, is that the US has to re-raise its debt ceiling by October 17th. Considering how close the US came to defaulting on its loans last time, this October 17th could be disastrous for anyone who has interest in a stable American government and economy. In any case, now may not be the best time to visit the USA.
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