So, as far as I gather, this episode is trying to make a statement about how real-life villains are very bad people, and this is just as scary as the paranormal. The "paranormal" imagery associated with the villain, Donnie, is purely symbolic. He's actually just a normal human being.

The problem is that I just don't buy it. Donnie is simply not scarier than the paranormal. He's not even that scary at all. As a guy who seems confused and weird rather than malicious, likes dead girls and hair, and has only newly become a murderer, he's significantly less disturbing than most well-known real-life serial killers (eg: he's like a VERY watered-down version of Ed Gein). Which is why Scully's horror at seeing nothing but bodies with hair and nails cut off (something not too different from a normal personal hygiene routine), before anybody has even been killed or hurt at all, is completely out of character. She sees things a hundred times worse in almost every other episode and hardly flinches.

So, as Comic Book Guy says... "worst episode EVER!"