U.S. states accounting for roughly a third of the nation’s gross domestic product are currently in recession or on the verge of one as the federal government shutdown enters its fourth week, with congressional Republicans and President Donald Trump refusing to support an extension of key healthcare subsidies that are set to lapse at the end of the year.
A recent analysis by Moody’s Analytics chief economist Mark Zandi estimates that 22 states are experiencing an economic downturn or are at serious risk of recession, a nascent crisis fueled by Trump’s tariffs , mass deportations , and sweeping attack on the federal workforce — an assault that has intensified since the federal government shut down at the beginning of October.
States currently in or on the brink of recession i