Whether the result is good or bad, film making is always an art, just like any other art form.

Whether or not the result is "entertaining" is a matter of personal preference, just as other art forms are.

There are painters and paintings that I enjoy, for example, and some that I hate, but it's all still art.

And as far as your original question is concerned, "art" and "escapism" are certainly not mutually exclusive. In fact, I don't think that the two terms are lumped together in a question fairly.

You could ask if films are art or not, or a form of escapism or not, but I don't see the comparison of how they have to be one or the other.