The point isn't that things aren't awful, but that used to be more awful and continue to be less awful, despite popular perception to the contrary.
> You just prefer the cozy illusion that it's all getting better.
It is getting better.
> Statistical averages mean nothing to the millions of family barely making ends meet and not being able to pay for the kids' gyms and proper nutrition.
Again, that's not the point.
> But sure, "on average things are better" -- and even this outlandish claim is proven wrong by this article, with hard data.
No it isn't. The article actually cites data showing that poverty is going down, just not as fast as "extreme poverty". On average, things are getting better. It's not an outlandish claim. By almost any measure of human welfare, things are getting better, on the average.
Hickel's issue isn't so even so much arguing that poverty isn't going down, but that "neoliberalism" had nothing to do with it. Make of that what you want, but that's Hickel's pet peeve, not Pinker's.