Government spat slows down research
Hi Guys! I came upon an interview showing some more consequences of the government of the USA shutting down. Scientific Research and Development in the USA will also be slowed substantially in some fields. NASA has pretty much shut down as well as other projects dependent on government financing, such as brain research (the brain map), Antarctic research, epidemic monitoring, and more... Can you guys guess what impact this may have on the Economy?
GDP will be affected right now because this is a decrease in G (government spending) but since these research projects usually have long-lasting impacts, potential output can also be negatively affected. Even blue-sky research (which seems to be completely disconnected from reality, and we have a whole lot of that in Economics) can lead to great discoveries that can have substantial impacts on our lives. These innovations that would have normally happened may be pushed back a few years, especially the ones related to the Antarctic (teams have to postpone their research until the next time it becomes possible to go there).