Cars are more expensive compared to many people's salaries, as evidenced by car loans getting extended to 7 years. However they are more fuel efficient, last longer, and have lower maintenance costs (oil change at 10,000 instead of 3000 miles, for example).

For food it really depends on what you get. Meat seems to be higher, but I'm always amazed at how cheap bananas and potatoes are (and rice). Paying per minute for phone calls is a thing of the past too.

However a modern lifestyle also comes with more "almost necessary" expenses, such as home internet, cable ($150 - $200 a month), plus cell phone ($160 per month for two lines, to get unlimited calls and data). But electric usage is lower due to higher efficiency appliances and lighting.