How the Prolonged Government Shutdown Is Rippling Down to States

As some 800,000 employees began missing paychecks, the impact is casting clouds over the economies of states with a big share of federal workers, including Virginia, Maryland, Hawaii and Alaska, where about 5 percent of workers are employed by the federal government, according to Fitch Ratings. In Maryland and Virginia, more than 236,000 affected workers have lost more than $1 billion of wages so far, cutting about $79 million from income-tax collections, according to state officials. Analysts forecast that the shutdown will end in mid-February and shave about a quarter percentage point off the economy’s growth rate, according to a survey by Bloomberg, though the impact would be larger if it persists into March.