It doesn't appear that the writers strike will be as big of a drain on the economy as previously thought.

According to a story from Home Media Magazine, the writers strike, if prolonged until March, will cost the Los Angeles economy less than $400 million. The buzz around town was that the strike would end up costing $1 million, but a new study puts the strike cost much lower.

The UCLA Anderson School of Management cited a report from economist Jerry Nicklesburg which states that those estimates are "grossly inflated."

"Virtually everywhere in the media, in City Hall and in Sacramento this greater than $1 billion economic impact is taken as fact," Nickelsburg said.

Nicklesburg believes that the $1 billion estimate was using out-of-date figures from the 1988 writers strike, and that certain updated aspects - like the new wave of reality TV and Internet programming - weren't taken into consideration.

"Even if the strike runs as long as the record 1988 strike, it will be about one-third or less of the currently accepted $1 billion estimate," Nickelsburg said.