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Fed's Goolsbee says short government shutdowns are okay
Oleh Joshua Gibson
Tanggal Diterbitkan: 1 Oct 2025 | Tanggal Dimodifikasi: 1 Oct 2025
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Federal Reserve (Fed) Bank of Chicago President Austan Goolsbee noted on Tuesday that "short" government shutdowns tend to have a limited impact on the broader economy. The statements come at a time when the US government is barreling into a funding gap and subsequent shutdown.
Federal Reserve (Fed) Bank of Chicago President Austan Goolsbee noted on Tuesday that "short" government shutdowns tend to have a limited impact on the broader economy. The statements come at a time when the US government is barreling into a funding gap and subsequent shutdown.
Goolsbee also noted that he hopes tariffs result in a one-time inflation bump, rather than a drawn out inflationary pressure boost. Goolsbee's tariff comments come just after the Trump administration announced further targetted tariffs across a wide range of goods including cabinets and lumber.
Key highlights
Short government shutdowns have little impact on the economy.
Effect of government shutdown on economy depends on breadth and length of shutdown.
Hope tariffs are just a one-time price increase and that they are moderate.
Still a pretty steady labor market.
Now in an unusual low-hiring, low-firing environment.
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