The government shutdown’s hit to the economy will continue to ripple

The month-long government shutdown is expected to end this week, but the U.S. economy isn’t out of the woods yet.

On Sunday evening, the Senate advanced a deal that would reopen the government through Jan. 31 and end the mass layoffs carried out by the Trump administration over the past month. It would also guarantee back pay to furloughed federal workers.

However, the agreement must still undergo two additional votes before reaching the House. Once the House approves the measure, it will be sent to President Donald Trump for his signature.

For now, the shutdown will continue to wreak havoc on the U.S. economy, as more than 700,000 government employees remain unemployed and federal agencies remain closed.

“The current shutdown appears to have the largest economic impact of any shutdown on record,” Goldman Sachs economist Alec Philips wrote in a report released last week. Projections vary on the cost — and although most analysts expect the economy to rebound, the Congressional Budget Office recently estimated that up to $14 billion in economic activity could be permanently lost.

The air travel situation deteriorated over the weekend, with thousands of flights canceled at major airports. The Federal Aviation Administration ordered airlines to cut flights by 4% at 40 U.S. airports starting Friday, in a bid to relieve overburdened air traffic controllers who are working without pay.

On Monday morning, Trump warned air traffic controllers who had missed or skipped work to return immediately or their back pay would be “reduced.”

There has also been a heated battle over the federal food stamp program. Conflicting court rulings have caused confusion at the state and local level over whether the Supplemental Nutrition Assistance Program will be partially or fully funded. One in eight Americans receive weekly benefits under this program.

The Trump administration moved to suspend SNAP benefits, arguing that it had exhausted all of its funding to do so, despite having a large emergency reserve in place. But a federal appeals court ruled Sunday that it must fully fund the program. Under the Senate deal, federal funding for SNAP will be restored through the end of January.