Clashes between Democrats and Republicans in Washington since 2010 have cut one percentage point from US growth and cost the nation 2m jobs over three years, according to a new report by Macroeconomic Advisers, the economic research group.
The dire assessment was released as the US entered the third week of a government shutdown, with less than 100 hours to go before the nation faced the first possible default on its debt due to political paralysis in the capital.
President Barack Obama was due to meet congressional leaders yesterday amid signs that Harry Reid, the Democratic leader in the Senate, was inching closer to a deal with Republican colleagues in the upper chamber that could break the impasse.
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