Forecasting the Financial Impact of the 2026 World Cup

Written by: Connor Miller

In 2026, the United States, Canada, and Mexico will host the World Cup, marking the first time since 1994 that the tournament is being held on US soil. As a host of what is widely considered the largest sporting event in the world, the US will welcome millions of fans to various cities all across the country. The World Cup is often framed as an economic opportunity capable of transforming local economies through job creation, infrastructure investment, and increased tourism. Governments and the media often portray it as an opportunity for long-term prosperity for local economies, but the actual effects of the World Cup are far more complex. While it is evident that the World Cup will provide a short-term economic boom for the host cities, particularly in the hospitality and food service sectors, the long-term effects are not as clear.

Of course, a sporting event as large as the World Cup is not going to run itself, so it can be expected that there will be a massive boom of employment leading up to and during the World Cup. Prior to the opening whistle, jobs are created primarily in construction and stadium renovation. The renovations for the 2026 World Cup, while occurring on a smaller scale than those completed in Brazil, Russia, and Qatar, are still extensive. For example, MetLife stadium, which is hosting eight World Cup matches including the final, had to install a temporary natural grass field in place of their usual turf field. Additionally, AT&T Stadium is installing a specialized, full underground irrigation system to support a temporary natural grass pitch (Dow, 2025). During the tournament, jobs like security, event logistics, and customer service become important to help match days run smoothly. Most jobs created before and during the World Cup are temporary, ending once stadium renovations are completed or after the final whistle is blown. 

However, some longer-lasting employment impacts may occur indirectly if World Cup related investments continue to generate economic activity after the event. For example, expansions in certain airports (like JFK airport which is undergoing a $19 billion transformation that will open two new terminals) and improvements in public transit will likely result in the capacity for higher passenger volumes in the future, requiring ongoing staffing in operations, maintenance, and security (Josephs, 2025). Evidence from previous tournaments supports this mixed outcome: while jobs in construction may be more temporary in nature, this is not necessarily the case for jobs in other sectors. After hosting the World Cup in 2010, South Africa saw a sustained increase in tourism and in 2006, Germany used the World Cup to relaunch sectors such as design and urban sustainability (Job impact of the 2026 World Cup, 2025). This suggests that long-term employment gains depend heavily on how host countries leverage the event after it concludes. 

The World Cup is unique in its ability to unite fans across the globe, drawing millions to host cities and creating significant economic opportunities. Along with a boom in employment, it is expected that the 2026 World Cup will generate a noticeable surge in revenue for businesses in host cities. For instance, economic projections estimate that Dallas could receive nearly 3.8 million visitors during the tournament, generating between $1.5 billion and $2.1 billion in regional economic activity (World Cup Updates: Business Opportunities, Ambassador Row & More, 2025). 

Most fans that are attending games will likely prefer lodging options close to the stadiums, leading to large demand for local hotel rooms. Because factors of production are fixed in the short run, even substantial hotel construction efforts may not allow supply to keep pace with increased demand. Principles of supply and demand make clear that because there will be a shortage of hotel rooms in the host cities, prices will skyrocket and local hotels will enjoy a period of boosted revenue. Namely, Houston is increasing hotel rates by a predicted average of 457%, while Kansas City is increasing their hotel rates by an average of 364% (Crafton & Bushnell, 2025).

Additionally, as visitors search for dining options around the stadiums, local restaurants will have increased business. Other sectors of the economy such as souvenir and retail shops as well as public transportation will benefit in a similar way. Despite these short term gains, the effects on many local businesses are expected to be temporary. After the World Cup, there will no longer be an increased demand for hotels and restaurants, and these areas will return to their pre-event levels. Although some businesses may benefit from increased visibility or long-term customer growth, for most local establishments the economic expansion associated with the World Cup is concentrated primarily during the tournament itself.

It is often argued that the actual economic effects of mega sporting events like the World Cup are overstated because of the “feel good effect” surrounding them. Events like these boost national pride and individual happiness, which people often attribute to larger economic effects. Spending associated with the World Cup can also “leak” away from local economies due to tourism displacement, a phenomenon in which regular tourists avoid host cities because of anticipated crowd congestion and significantly increased prices (The Conversation, 2025). This disperses economic activity and results in more modest effects on host cities. Additionally, higher spending associated with games can be accompanied by lower spending in other sectors; as a result, overall consumption may not increase as dramatically as projected. Overall, the 2026 World Cup is likely to generate substantial short-term economic activity in the United States, particularly in sectors tied directly to tourism and event operations. However, the extent to which these gains translate into sustained long-term growth will depend on how effectively host cities manage infrastructure investments, tourism exposure, and post-event development planning.

References

Crafton, A., & Bushnell, H. (2025, December 10). Hotel prices in World Cup host cities surge by more than 300% after schedule confirmed. The New York Times. https://www.nytimes.com/athletic/6875796/2025/12/10/hotel-prices-in-world-cup-host-cities-surge-by-more-than-300-after-schedule-confirmed/

Dow, L. (2025, December 11). How the World Cup will transform AT&T Stadium with natural grass and more. Fort Worth Star-Telegram. https://www.star-telegram.com/sports/fifa-world-cup/article313556921.html

Economic Boost the Impact of FIFA 2026 on the USA Hospitality Industry. (2025, February 27). Uberant.com; Uberant. https://uberant.com/article/2086944-economic-boost-the-impact-of-fifa-2026-on-the-usa-hospitality-industry/

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Josephs, L. (2025, August 2). JFK airport’s $9.5 billion international terminal is taking shape. See what’s inside. CNBC. https://www.cnbc.com/2025/08/02/jfk-airport-new-international-terminal.html

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McCormick, B. (2025, June 16). 2026 World Cup: All venues are in place, but two significant factors must be addressed. Sports Business Journal. https://www.sportsbusinessjournal.com/Articles/2025/06/09/2026-world-cup-all-venues-are-in-place-but-two-significant-factors-must-be-addressed/

The Conversation. (2025, November 2). Do mega-sporting events pay off? Here’s the economic reality behind them. @Bsindia; Business Standard. https://www.business-standard.com/sports/other-sports-news/do-mega-sporting-events-pay-off-here-s-the-economic-reality-behind-them-125110200177_1.html?

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