The claim that they don't build 'em like they used to is bs. Building has always been profit driven and therefore shoddy work has always been a problem. Ancient Egyptian law even addressed the problem with an eye for an eye approach. The fallacy stems from the fact that only the best of the past remains standing and people take these examples as representative of the average build. Most of these were built by the comparatively wealthy and the closest that 99% of us would get to one would be the privilege of working on it.
The comparative affordability of modern building allows all but the poorest to escape a landlord (dependant on economic cycles as well), and modern notions of privacy and personal space would not have been practical less than 100 years ago.
From an engineering standpoint, there are a lot of benefits to the elastic nature of studwall construction. Brick and plaster sounds like a solid third little piggy type build, but it's rigid nature means that any foundational shift (settlement, seismic, soil type, etc) will result almost immediately in visible cracking. Drywall is the most commonly used internal lining in the world not only because of it's affordability but also because of superior performance when properly installed and finished. It's poor reputation in America comes from underskilled (and underpaid) contractors and a general misapprehension of the nature of studwall/gypsum systems.
If you need to string someone up for what ails modern American building, look to the insurance companies and laws which they have basically written and passed for their own benefit. Legislated fees, hold harmless agreements, an engineered disproportion of contractor liability to potential profit, a guaranteed insurance co profit with zero liability, etc.
The bottom line for homeowners is that you won't get a Ferrari for the price of a Hyundai. The bottom line for contractors is that the middle class always thinks that they should. Overall, if the system were revamped to quit hemorrhaging money to insurance companies then people would get a lot closer to getting what they pay for.
