Academic, trade, and popular publications commonly assert that 80 percent of motion pictures fail to make a net profit, suggesting also that the main players of the motion picture industry operate in highly volatile market conditions. More importantly, major film companies use this argument to...

In this paper we propose a more positive and useful reading of the cost disease. We present a case for refocussing the general attention from the characteristics of the cost disease (i.e. the widening production cost and price gap between the product of progressive and stagnant industries) to...