Well, really, I think were are better off simply because we now (most people) don't have to worry about were our next meal is coming from, and if we have enough wood o keep us warm over the winter.
Are people happier? ehh who knows.
I think a better word would be content, and you can be content with anything, I think it's more of a personal thing than a progress thing (ie someone who isn't content now, wouldn't be content a hundred years ago and visa versa)
I personally think to themselves "ohh we were so happy before all this technology/pollution/progress came around, we should go back the way we were" are deluding themselves.
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