Final answer:
The decline of Hollywood after World War II was due to the 1948 antitrust ruling against vertical integration, the competition from the rising popularity of television, and internal pressures like the HUAC blacklist.
Step-by-step explanation:
Decline of Hollywood's Power in the Post-World War II Period
The post-World War II era saw significant challenges to Hollywood's dominance in the film industry.
One of the most pivotal events was a 1948 antitrust case, United States v. Paramount Pictures, Inc., which ruled against the vertical integration of the film industry, dismantling the traditional system where studios controlled production, distribution, and exhibition.
This decision forced studios to divest their theater chains and profoundly altered the business model of the film industry.
Moreover, the rise of television rapidly changed the entertainment landscape. By the mid-1950s, the proliferation of TV sets in American households had expanded dramatically, offering a free and convenient alternative to movie-going.
This shift marked the beginning of a new era where television became the dominant medium, absorbing a significant portion of the audiences that once flocked to cinemas.
The film industry also faced internal pressures, such as the blacklist resulting from the House Un-American Activities Committee hearings that targeted individuals within Hollywood suspected of Communist affiliations.
This period of suspicion and censorship had a negative impact on the industry's creativity and the livelihood of many in the film community. Thus, Hollywood's power diminished due to a combination of legal rulings, technological innovations, and sociopolitical factors.