Unless you are suggesting that Americans’ standard of living should not rise for the last 75 years (despite productivity increases), that would only be relevant if buying houses at 1950s standards was possible for most people.
People don't want to live like their grandparents did in the 50s, so the market mostly doesn't offer it. So, instead of working much less and buying a 1950s-liike house, people prefer to work the same amount as their grandparents worked, and afford a fancy 2024 house.