I kinda feel like there's an argument for entertainment being more expensive to the consumer. In my mind that leads to decreased consumption and higher demand for high quality media.

No one demands quality from a service which is cheap enough for most people to subscribe to and literally forget they're paying for. But if everytime they chose to watch a movie or show, they had to account for it in their budget, they'll be much less likely to be happy with the slop Netflix pumps out.