At least when it comes to musical instruments, cheap instruments today are astronomically better than the cheap instruments I grew up with - and they are cheaper. The manufacturing process has become so good that what you get for $350 today, is about the same standard as what you'd pay $500-$800 for 30 years ago (which is probably closer to $1000-$1500 today).

As far as clothes go - I the cheap junk back in the day didn't last too long, either. Cheap supermarket jeans would last me maybe 1 season, before something ripped. Granted they probably only cost $20 back then - but the quality isn't too different from the H&M you purchase today for $50.