What the Gov't Shutdown Means for National Security

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Oct. 1 (Bloomberg) -- Bloomberg Contributing Editor Richard Falkenrath discusses how the government shutdown impacts U.S. military readiness and international relations. He speaks with Deirdre Bolton on Bloomberg Television's "Money Moves." (Source: Bloomberg)

What are the short-term effects he echo do we have to be worried that our armed forces are going to be hit somehow?

In short, no.

The short-term effects -- the short-term effects should be fine.

The military is not directly affected me the secretary of defense can still do emergency contracting if it is a matter of life and death.

There are 400,000 civilian workers that have been furloughed but they are nonessential personnel.

The short term, we should be fine.

What about international relations he echo is there anybody out there who does not like us?


We looked ridiculous, like a country that can't function.

It is not good.

Over time someone could try to take advantage of it.

I would not say immediately but it is fairly interesting what is going on in the middle east with a typical addict overture over iran.

We can't even staff of the state department completely.

Worst-case scenario, what if there is actually a crisis?

This is really dangerous.

Crises, in a way that you least want them.

The government does not have a lot of excess capacity.

There will be seniors, senate confirmed officials, who are essentially going to be operating without their special assistance or the front office.

Suddenly they are confronted with the crisis and it will be harder to deal with.

Politically that becomes a disaster for the congress.

They will be held to blame for the fact that the u.s. government is only partially staff.

Honestly we really only have two parties.

There are plenty of political pundits who say that this point there are more than two.

How long can this go on before outside of the crisis situation we really do face some pretty serious consequences?

That is not super long.

A few weeks for the department of defense, which spends a billion dollars per day, a few weeks is a long time.

It will impact the contracting base in washington primarily.

This will play out in our foreign bases to the support staff, through the support contractors, through the logistics.

He would say after a week or two this will get really old.

The national security establishment will not tolerate it and it will become a big problem.

A bloomberg contributing editor

This text has been automatically generated. It may not be 100% accurate.


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