About the car example...

I switched to more expensive SUVs, and all these are anti frugality:

1.Car parts are often smaller (such as wheels) and less sturdy. And more prone to fail.

2. When an SUV is being built, the price premium allows the manufacture to build it using higher end components.

3. SUVs have more space to move and pack things

4. Better odds of surviving a crash vs a car.

5. Higher seated position means a better view of oncoming traffic.

And so on ...

I think frugality needs to be subservient to "form factor". Something that you are going to be using a lot, needs to be reliable, comfortable, and practical. A price premium is often justified in achieving these.

I could probably go on. But the cheaper option is inferior.