Question

According to "All time box office rank", Avengers: Endgame in 2019 is the highest life time gross at $2.7 billion. FYI, Box office is calculated with the number of ticket sales multiplied by the price of ticket. However, your grandpa said "No, that's not true, when I was young, everyone went to see Star Wars: Episode IV - A New Hope, back in 1977. I am sure that Star Words Episode IV probably sold more tickets than Avengers Endgame." It turned out that your grandpa was right. Explain succinctly why. Format V BIU y ... > Eg h

Answer 1

This is a problem of fluctuation in price level of tickets, i.e. Inflation
Yes, grandpa is right in saying that Star Wars episode IV in 1977 had more ticket sales, but when accounting for inflation, ticket prices do matter as, higher ticket prices in 2019 would have increased gross earnings of Avengers : Infinity War to a larger extent than Star Wars episode IV.