... increases, costs of production and distribution of movies increased sharply in 1989 and 1990. The quest for big box office returns and big budget movies created a large increase in the cost of making these movies. The movie industry in 1991 generated over $11 billion in revenue, an 11.5% increase from 1989. This was below the 16.5% compound annual growth in the 1980's. Growth in the industry has expanded significantly in the years that passed, fueled by increasing foreign revenues, as well as increasing ticket prices. The summer of 1990 marked the first downturn in domestic box office revenue since the start of the industries boom. Despite the new technologies of home cinema and DVD videos, motion picture attendance has been consistent, even in times of recession. With the start of the Gulf War in 1990 attendance did drop for the first two weeks of war, but people soon ...

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