“Hollywood, after all, was just a dusty desert town that became the hub of the movie business because it was easier to move there and start a new one than dealing with Edison's lawyers back East…”
Yes, but also no. Keep in mind the popularity of Westerns in the 1930’s-1950’s and the ease with which you can get to desert/mountain/beach/city/forest/etc settings within a relatively short drive from L.A.
That said, I generally agree with your point.