The test was the World Cup. Here is what it showed.

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The tournament worked. The country didn't — World Cup economic impact: World Cup 2026 economic impact

Hand a country that is losing visitors the largest sporting event ever held on its soil, and watch what happens. That was the 2026 World Cup. Living Lab measured it per hotel, per city, per route.

International arrivals to the United States fell 4.2% in 2025 while worldwide travel grew about 4%. Inbound visits declined to 68.3 million, against 79 million in 2019. The causes were policy rather than weather: visa suspensions, border checks, tariff sentiment.

Into that fall came the World Cup, 78 of 104 matches on American soil. If a mega-event can overcome policy friction, this was where it would show.

Clean experiment

On its own terms, the event performed. Attendance reached 6.81 million against a projection of about 6.5 million. Ticket demand ran at roughly 30 times capacity.

The international component did not follow. Four in five host-city hotels reported bookings below projection. European advance bookings for July were 15.3% down on the prior year. US inbound arrivals kept falling through the tournament window.

A displacement that survives the strongest pull a country can apply is not a cycle. It is a new baseline.

Miami, dallas, new york: three cities, three different answers

What it delivered

The published pre-tournament forecast put host-city room rates up 7 to 25%. Living Lab measured each market on per-hotel fixed effects and found outcomes outside that band in both directions.

Miami booked 382,025 tournament room nights with a rate premium of 30.3%. Dallas booked 491,175 at 19.8%. New York booked the most room nights of any host, 537,655, and its rate fell 4.5%. The city absorbed the largest event on earth without moving on price.

A national average of plus 13% would have told all 16 cities the same thing. It would have been wrong for most of them.

Kegs and beds

Set the tournament beside a full year of US business events, measured on one method, and the comparison is close on most measures. The calendar produced about US$827m of economic contribution and US$194m in state and local taxes, every year. The tournament produced about US$968m and US$227m, once.

A one-off event and the ordinary calendar need measuring the same way, so a government can see what each is worth and decide what the next bid should cost. That is the argument for treating them as one event portfolio rather than a league table.

Per hotel, per city

On 13 June, Scotland played Haiti at Gillette Stadium. Around 50,000 Scottish supporters travelled. Boston’s bars sold beer at roughly four times the volume of a Fourth of July weekend, and the Samuel Adams taproom alone went through about 70 kegs. Some venues ran dry.

None of it was a surprise in kind. Origin-market data, flight bookings into Boston, and hotel occupancy for the match week were all visible weeks ahead. The supply chain that did not see them was the one holding the kegs. That is absorptive capacity, and it is the concept behind the second case too: a Grand Prix town whose guests slept in the next city, on a fleet of cars with foreign plates.

Three lessons

Three lessons, in order of how often they are ignored.

  • A one-off event proves hosting capability once. The ordinary calendar pays every year. A country that only measures the event will keep bidding for events.
  • The measure has to be per hotel, per event, per route, or it is not a measure. The cities that gained 30% and the city that lost 4.5% needed different decisions.
  • The binding constraint decides the strategy. Beds in one city, air access in another, the size of the calendar in a third. Name it before the bid and the bid becomes a case.

That is what Living Lab measured in 2026, and what a national government can now have before the decision rather than after it. The full paper, The test was the World Cup, is in the white papers.

For further reading, see OECD Recommendation on Global Events and Local Development.

For further reading, see US Travel Association forecast.

The bid test

Before the next bid, have three things on the table: a per-hotel measure of the current calendar, a demand scenario for the event with the counterfactual stated, and a named binding constraint. Discover them afterwards and the study goes in a drawer.

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