TY - RPRT AU - Kurmann, Andre AU - Lalé, Etienne AU - Martin, Julien TI - When Neighbors Stop Knocking: The Impact of Canada's 2025 Tourism Decline on U.S. Local Labor Markets PY - 2026/May/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 18626 UR - https://www.iza.org/publications/dp18626 AB - We provide the first systematic evidence on the short-run labor market consequences of the 25% decline in Canadian visits to the United States in 2025. We combine smartphone foot-traffic data measuring Canadian visitor presence at the ZIP code x industry level with real-time establishment-level employment records. Exploiting the high heterogeneity in exposure to Canadian visits, we find that small establishments in the top 1% exposed local-industry markets experienced employment declines of about 6% compared to less exposed ones. Our estimates imply between 13,900 and 42,100 jobs lost, concentrated in a small number of localities. KW - tourism KW - smartphone data KW - employment KW - business dynamics ER -