In all the discussion about Mr. Boehner, the debt limit, and the Congressional Republican, I have not seen any diarist discuss the effect of a shutdown on the 1%, and specifically the large proportion of the 1% who make their money off government- actually a very large percentage.
Now FORBES has published an interesting article about exactly this topic.
In their never-say-die efforts to defeat Obamacare, Tea Party Republicans brought the federal government a giant step closer to shutdown last night. What they seem not to have considered is how America’s foreign creditors will react
There is a lot of tea party hysteria over "government borrowing." In one way, this hysteria, while not justified, has a point: borrowing a lot of money from foreign interests has a tendency to give those foreign interests say over how America is run. Most borrowing these days is from China and Japan.
For example (from the above article)
One of the most important ways they [foreign investors] wield influence is through major Wall Street investment banks. These latter in turn spend large amounts on political contributions, typically backing both Republicans and Democrats. Their money gives them plenty of face time to advise American elected representatives on “good economics,” a term that more and more these days amounts to economics that serves East Asia’s interests.I don't think the article writer is has a good take on exactly what those interests are. He thinks East Asia is interested in American stability, I think East Asia is interested in the US as a cheap source of raw materials. For the purposes of this discussion, the exact interest is irrelevant, as long as a government shutdown will annoy East Asia and lead to muscle flexing. The article suggests that stock markets may be sent into a tailspin. This would impact those who fund the tea party Congressfolk, and cause some very unhappy telephone calls to such folk from contributors.