Why do movies cost so absurdly much to make?

Question

Why do movies cost so absurdly much to make?

In: Economics

Answer 1

The public amounts you hear quoted for blockbuster movies often include the cost of marketing – ads, trailers, etc, which can be incredibly expensive. For example, just running an ad during the Superbowl costs over $5 million for airtime. Blockbuster films often have very expensive casts – Hobbs & Shaw, for example, had three top billed stars with a combined salary of $40 million.