FAQ for
The Purple Rose of Cairo (1985) More at IMDbPro »

Gil Shepherd hangs around with Cecilia, and as soon as Tom Baxter walks back into the movie screen, Gil leaves.

Cecilia finds refuge, as always, at the movies.

Gil looks uneasy on the plane back to Hollywood; it is possible that he feels guilty about tricking Cecilia - but also possible that this is just due to his fear of flight!

She is watching "Top Hat" (1935), a Ginger Rogers and Fred Astaire film, specifically the famous "Cheek to Cheek" segment, which you may also have seen in "The Green Mile" (1999).