Government shutdown and the debt-ceiling again
here). Many of the comparisons are with the previous shutting down in November 1995, during the Clinton administration. Yet, back then the economy was in the middle of a boom, predicated on a bubble, but a boom nonetheless. And also, as revenues were increasing, the economy was back then on its way to fiscal surpluses, and lower debt levels. So no debt-ceiling catastrophe loomed in the horizon. Now a debt-ceiling limit may lead to cuts in spending of the order of around US$ 600 billion dollars. So a weal recovery may turn into a recession. Long live austerity!