It is not even the case of using GC and such.
Our phones are way more powerful than any Xerox PARC or Lisp Machine ever was.
I get why it's done, but part of me wishes that CPU growth would stall off for a bit so the software industry would have no choice but to treat optimization as a selling point again.
The focus should be on developer productivity first, then product iteration, then performance.
For example, try to compute CRC32 checksums of 100 byte arrays at bus speed in C/C++ and then in the higher level language of your choice.
In all seriousness though, I wonder if once Moore's law really stops we'll see a surge of innovation in compiler and language paradigms, born out of necessity. It seems to me that the revolution in higher-level languages and paradigms came because we could (computationally) afford it, so it makes sense that once the incentives change we'll see innovation in other areas.
Big 5 want to hire like crazy is a myth.