If done quickly, the immediate local economic implications would be massive. So many towns are built around the funneling of government dollars into communities that otherwise (1) would be much smaller or (2) wouldn’t exist.

Middle America would be unrecognizable from what it looks like today. 

Texas would be relatively among the strongest because of their energy abundance. Florida would suffer from Social Security reform. Lots of the Midwest and Deep South would get absolutely wrecked.

Immediately, home valuations would plummet, supply chains would be disrupted, and society would likely decay rapidly.

Longer-term it’d all work itself out but the detox period would be pretty bad and last a few years.