Why the World Cup May Not Bring Big Boost to US Economy
Summary
The 2026 FIFA World Cup, hosted partly by the U.S., was expected to bring a large boost to the U.S. economy, but experts now say the financial benefits will likely be much smaller. Factors like high hosting costs, slow ticket sales, and fewer visitors than expected may reduce the economic impact.Key Facts
- A 2025 FIFA study estimated an $80 billion global economic impact from the World Cup, with $30.5 billion for the U.S.
- Experts say the actual boost to the U.S. economy could be as low as $17.2 billion, or 0.05% of U.S. GDP.
- The "substitution effect" means locals might spend money on tickets instead of other things, limiting new economic activity.
- "Crowding out" refers to fewer regular tourists visiting host cities because of crowds, which lowers expected gains.
- About 80% of hotels reported reservations below forecasts for host cities.
- Thousands of World Cup tickets remained unsold less than two weeks before the event started.
- A sudden removal of available tickets from the FIFA website raised concerns about attendance interest.
- The Trump administration maintains confidence that the event will be highly successful and safe.
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