With negotiations on raising the debt ceiling bogging down on Friday, the U.S. may be less than two weeks from defaulting on its debt, an unprecedented scenario that government officials have variously described as "unthinkable" and potentially "catastrophic."

A default would mean the U.S. government fails to pay some of its obligations because the Congress failed to raise the debt ceiling to authorize borrowing more money to fund spending it already passed. Its impact would be felt by anyone expecting funds from the government, whether a Social Security check, SNAP payment, a government bond payout or — in the case of federal employees — a paycheck.

"Most state economies will be hit hard if there is a debt limit breach, although the economic pain varies," economists at Moody's Analytics said in a report analyzing the possibility of a default.

Public sector takes a hit

Washington, D.C., where 1 in 4 jobs are tied to the federal government, would be hardest hit, becoming the "poster child" for a financial disaster, they said. States with large federal facilities, such as national laboratories or military bases, would be next in line. That includes Hawaii, which is home to the United States Pacific Command and to 11 military bases; Alaska, with vast federal land holdings; and New Mexico, home to Los Alamos National Laboratory.

"While the public sector typically serves as a stabilizing force, in the case of a breach it supercharges its economic fallout," wrote Moody's Analytics economists Mark Zandi, Adam Kamins and Bernard Yaros.

Also vulnerable are regions that rely heavily on federal spending, including those with defense contractors. "Professional services firms suffer, hurting white-collar support firms in and around the Beltway, particularly Northern Virginia," Moody's said. "Aerospace is also hurt, impacting states including Connecticut, Kansas and Washington."