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1. You have to be careful how you define "luxury". The average house in 1950 was less than half the size of today's average house (even though the average household was larger), and not air-conditioned.

2. Since 1950, food prices seem to have grown at the overall rate of inflation, so food is cheaper relative to the median income. (https://research.stlouisfed.org/fred2/series/CPIUFDSL/)

3. Healthcare is usually considered essential, and its cost has increased as a fraction of median income, but I would bet 1950's medicine would be dirt cheap today if it weren't illegal to practice it: no MRIs, no patented medicines, no chemotherapy, etc. What we get in exchange for the higher cost is a decade of life expectancy.

4. Here is an interesting article I found on this topic: http://www.theatlantic.com/business/archive/2012/04/how-amer...



> What we get in exchange for the higher cost is a decade of life expectancy.

It's not quite clear that the extra decade of life expectancy comes from the more expensive medicine.

(I agree with the rest of your arguments for what it's worth.)




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