New Delhi, Oct. 6 -- The US economy is on the verge of entering a damaging contraction, and many states are witnessing recession already, according to a report by MarketWatch citing Moody Analytics chief economist Mark Zandi.

Zandi estimates that 22 states, along with the District of Columbia, are currently facing ongoing economic weakness and job losses, which are likely to persist.

"The economy is still not in recession, but the risks are very high. We're on the precipice," Zandi said in an interview.

California and New York are currently struggling to maintain stability. If either state falters, it could push the economy into a recession, Zandi said.

This week, UCLA Anderson School of Management issued a separate forecast suggestin...