The Internet Oracle has pondered your question deeply. Your question was:

> Most Wise Oracle,
>
> Why does Hollywood have a huge sign above it stating its name?

And in response, thus spake the Oracle:

} (Blackout. Focus fade to FAMOUS ACTOR, played by Tom Cruise or,
} if he's available, Brad Pitt, lying on the floor. His clothes are
} dissheveled, his hair is mussed and his eyes are bloodshot. In short,
} he looks very hung over.)
}
} (FAMOUS ACTOR rolls face up, sits up and runs his hands over his face.)
}
} FAMOUS ACTOR: Ugh. Where am I?
}
} (The camera pans around the room. It is an utterly generic motel
} room with no distinguishing characteristics. There are a couple of
} empty vodka bottles on the floor. The camera rests for a moment on
} the window. The curtains on the window are closed. Cut to-)
}
} (Full screen shot of FAMOUS ACTOR. He stands, stumbles over to the
} window and pulls open the curtains. Cut to-)
}
} (Wide shot of the famous HOLLYWOOD sign. Pause for a few moments,
} then cut to-)
}
} (Tight shot of FAMOUS ACTOR's face.)
}
} FAMOUS ACTOR: Oh. (Beat) Now how did I get here?
}
} You owe the Oracle the script to Oracle: The Motion Picture.