From Demogorgons to Dollars: The Economics of Rebuilding Hawkins

Candi Clouse, PhD

December 09, 2025 14:47

SPOILER ALERT

To understand the economic impacts of a natural disaster, we can use Stranger Things Season 5 as a fictional case study, focusing on the devastation to Hawkins, Indiana. Ignoring previous events like the Starcourt Mall disaster, the last season introduces a catastrophic earthquake and related destruction that would have severe financial consequences for the town and the state. Hawkins is likely located in Howard County, Indiana, based on extensive internet research, so we can model the economic effects on both the county and the broader Indiana economy.

DAMAGE TO HAWKINS

Using damage estimates from 1987 and adjusting them to 2025 dollars, the scale of losses becomes staggering. Town-wide earthquake damage alone accounts for hundreds of millions of dollars. Residential properties bear the largest share, with an estimated $232.5 million in damage to homes. Commercial buildings follow at $139.5 million, reflecting the vulnerability of local businesses.

Transportation infrastructure, like roads and highways, adds another $93 million to the total, highlighting the cost of restoring critical connectivity. Beyond civilian property, specialized losses compound the economic burden. Military equipment destroyed during containment efforts is valued at approximately $31 million, while the destruction of the laboratory in the upside down, which may or may not even be rebuilt, adds another $62 million. These figures illustrate how a single catastrophic event can ripple through multiple industries, from housing and commerce to government and defense, creating a complex web of economic challenges for recovery.

BLUEPRINTS TO REBUILD

To model this scenario in IMPLAN, we start by building out three regions: Howard County (as a proxy for Hawkins), the rest of Indiana, and the rest of the
United States so that we can link each together using MRIO. This regional setup allows us to capture both local and broader economic impacts of the reconstruction effort following the devastation in 1987 (Season 5).

Next, we assign IMPLAN codes to each component of the required reconstruction. For homes, we use IMPLAN Code 56 – Maintenance and repair construction of residential structures. Commercial buildings fall under IMPLAN Code 55 – Maintenance and repair construction of nonresidential structures, while infrastructure such as roads and highways is categorized as IMPLAN Code 57 – Maintenance and repair construction of highways, streets, bridges, and tunnels. We also include a potential item for lab reconstruction under Code IMPLAN 469 – Medical and diagnostic laboratories, as its future is uncertain. Additionally, we account for the presence of 50 military personnel onsite for security using IMPLAN Code 527 – Employment and payroll of federal government, military.

The Howard County Group has five events: repairing homes, repairing commercial buildings, repairing infrastructure, rebuilding the lab, and adding the additional military staff. For items not manufactured in Indiana, such as tanks and containment units, we add these two events to the “Rest of U.S.” group. Replacing lost tanks is assigned IMPLAN Code 346 – Military armored vehicle, tank, and tank component manufacturing, while Demogorgon containment units fall under IMPLAN Code 210 – Steel wire drawing.

POST MIND-FLAYER

Making the assumption that the evil is vanquished from Hawkins, we can head over to our Results. Filtering for the Howard County group reveals the scale of the local impact. This massive project supports over 5,300 jobs in Hawkins, generating $400 million in Labor Income, $625 million in Value Added, and $1.1 billion in Output. This would all take place in Howard County, Indiana, which in 2024 only has an Output of $12B, so this influx of spending will be huge for the region.

Meanwhile, manufacturing containment units and tanks in the Rest of U.S. supports 283 jobs in manufacturing and beyond, produces $113 million in output, and contributes over $10 million in taxes throughout the country.

FINALE

As this analysis shows, each disaster scenario has unique economic implications. In this scenario, we might also consider adding things like spending on medical care for those hurt in the earthquake, police force and military overtime, loss of crops from infected farmland, a mass exodus of residents, or even added tourism as folks flock to see where it all happened.

Understanding what was destroyed, estimating what will be rebuilt, and identifying what needs to be replaced are critical steps to ensure your analysis doesn’t go “upside down.”

THE REAL ECONOMIC IMPACT OF STRANGER THINGS

If you missed the post from Netflix, Stranger Things has launched its final season, leaving behind an impressive economic footprint. Since 2015, the series has added over $1.4 billion to the U.S. economy, created thousands of jobs, driven more than $1.1 billion in GDP impact across key states, and shattered Netflix records with 59.6 million premiere-week views across 90 countries.