How Long-Term Unemployment Is Adding Trillions to the Debt

The national debt has surpassed $38.5 trillion, but a hidden driver is surging long-term unemployment. Lucas and Luna examine how workers out of work for 27 weeks or more are straining the federal budget through reduced tax revenue and extended benefits, creating a fiscal feedback loop that conventional projections underestimate. They tie this to the steepening yield curve and the 30-year yield hitting 5.01 percent, arguing that the bond market is pricing in persistent fiscal stress that unemployment data alone hasn't captured. The episode uses the latest May ADP numbers and the New York Fed's household survey to ground the discussion. A focused look at the macroeconomic ripple effects of a labor market that is healing on the surface but fraying underneath. #LongTermUnemployment #NationalDebt #TreasuryYields #FiscalPolicy #LaborMarket #FederalBudget #BondMarket #EconomicInequality #StructuralUnemployment #FedReserve #YieldCurve #DebtToGDP #ADPReport #NYFedSurvey #Economics #FexingoBusiness #BusinessPodcast #FiscalOutlook Keep every episode free: buymeacoffee.com/fexingo