US economy may lose up to $14 billion due to government shutdown standoff, CBO warns

The U.S. economy could lose up to $14 billion due to the ongoing government shutdown, a new analysis said Wednesday.

The nonpartisan Congressional Budget Office (CBO) released new projections that show the shutdown is likely to have a temporary negative impact on the U.S. economy, though gross domestic product (GDP) — adjusted to remove the effect of inflation — is expected to take a modest permanent hit.

It is Day 29 of the government shutdown , with Democrats and Republicans appearing no closer to a deal on ending the standoff than when it began on Oct. 1.

House Budget Committee Chairman Jodey Arrington, R-Texas, asked the CBO for an analysis earlier this month of how the shutdown will impact the U.S. economy.

The office sent Arrington an initial response on Oct. 17, which said tha