I think people certainly had more formal clothes, although fewer clothes total than we have now. People also took formal occasions seriously. When I was a kid, people would never have shown up at a holiday party in jeans etc. But, a lot of people do now.
I remember going to church with a hat or little circle of lace on my head, (with the bobby pin that would puncture my skull all during Mass) and white gloves, a dress, tights and dress shoes. At Girl Scouts, we had a full Dress Uniform, with tie, socks or matching tights, GS buttons, sash and pins and badges, hat or beanie, white gloves, all of it. When my kids were in GS, most of the kids didn't even have a sash or vest, not to mention a full Dress Uniform.
I think people are a lot less formal now. My youngest one is in a play at school and part of her costume calls for dress shoes. I realized she doesn't even have any dress shoes. I always had "school clothes" "church clothes" and "play clothes" when I was a kid. And G*d help you if you wore the wrong kind of clothes to an event.
Although it reflects some more relaxed attitudes, I do like the way people dressed in the past (the 80s not withstanding. UG, ugly clothes back then.)