Powell Says Extended Shutdown Will Hurt Economy, Doesn't See Recession

The video discusses the limited economic impact of short-term government shutdowns, emphasizing the importance of data from agencies like the Bureau of Economic Analysis. It highlights the current economic expansion and low risk of recession, noting that inflation and financial imbalances are not present. The main concern is global economic growth, particularly in Asia and Europe, which could affect the U.S. economy due to global integration.

What is the typical impact of short-term government shutdowns on the economy?

• They cause significant long-term damage.

• They have little impact on the economy.

• They lead to immediate economic growth.

• They result in permanent job losses.

Which agency's data would be affected by a prolonged government shutdown?

• Environmental Protection Agency

• Bureau of Economic Analysis

• Federal Reserve

• Department of Education

What is one of the main causes of recessions according to the transcript?

• Decreased government spending

• Low consumer confidence

• High inflation

• High unemployment rates

What recent economic trend is mentioned as a potential cause of recession?

• Mounting financial imbalances

• Rising interest rates

• Decreasing oil prices

• Increasing trade tariffs

What is the principal concern regarding the US economy mentioned in the transcript?

• Rising unemployment

• Global growth slowdown

• Domestic inflation

• Decreasing consumer spending