GREEN BAY, Wis. (WFRV) – As the federal government shutdown continues with no clear end in sight, the effects could soon reach Wisconsin — hitting federal workers, small businesses and even everyday consumers.
Kevin Quinn, dean of the Schneider School of Business and Economics at St. Norbert College, says the government has essentially run out of spending authority until Congress approves new funding.
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“The government can’t spend money unless Congress approves it, and the two sides just can’t seem to agree on what comes next,” Quinn explained.
According to Quinn, there are roughly 1,600 federal employees in the New North region who could be affected by delayed paychecks, along with local contractors and businesses that rely on federal spending.
“Those workers aren’t going to get paid. And if you depend on that—like a restaurant or small contractor—that loss of income spreads fast,” he said.
Quinn says the shutdown’s ripple effects could reach far beyond Washington. Delays in housing and small business loans could slow regional development and cause lasting financial setbacks.
“People can’t get loans for housing or small business help—and that work’s often never replaced,” Quinn noted.
He added that consumer confidence has already started to slip nationwide as uncertainty grows.
“We’re already seeing confidence fall. If this keeps up, people pull back on spending—and that hits the economy even harder,” said Quinn.
While Wisconsin may not feel the full effects right away, Quinn says the economic pressure grows with each passing day the government remains closed.
“If the shutdown lasts a month or more, some workers could lose cars or even homes,” he warned. “It can get pretty serious.”
Quinn believes that until both parties in Washington are willing to compromise, shutdowns like this could become an unfortunate pattern.
