The chief economist for Citi, Willem Buiter, had harsh words for politicians as the U.S. experienced its second day of a government shutdown. The economist blasted the political class on CNBC, saying:

“The United States looks like the 'Land of Oz run by the Munchkins' after the shutdown which started Monday at midnight, according to Citi's global chief economist.

Willem Buiter warned in an interview with CNBC on Tuesday that the "embarrassing manifestation of U.S. political malfunctioning could become economic disaster" if the market gets spooked about the debt ceiling and the potential of a sovereign default.

Buiter said that the most serious potential consequence of the current situation is that markets will become alerted to the danger of the approaching U.S. debt ceiling. However, he added that the current situation "need not be too serious.”