Story perspectives

Shutdown Drives 22 States into Recession Risk, Economists Warn

10/21/2025

44 8

Summary

Story summary

Moody's Analytics says the federal government shutdown, now in its fourth week, leaves 22 states in recession or at risk.
The downturn is linked to U.S. President Donald Trump's tariffs and cuts to healthcare subsidies.
Maine, Oregon, and Illinois are particularly affected.
Leor Tal of Unrig Our Economy criticizes congressional Republicans for exacerbating the crisis.
Economists warn that prolonged shutdowns could raise unemployment claims and trigger cuts to SNAP.

1 of 1

Story summary

Moody's Analytics says the federal government shutdown, now in its fourth week, leaves 22 states in recession or at risk.
The downturn is linked to U.S. President Donald Trump's tariffs and cuts to healthcare subsidies.
Maine, Oregon, and Illinois are particularly affected.
Leor Tal of Unrig Our Economy criticizes congressional Republicans for exacerbating the crisis.
Economists warn that prolonged shutdowns could raise unemployment claims and trigger cuts to SNAP.