The basket is dogshit, but not for the reason you probably think. Our lives improved tremendously by technology: internet, smartphone, videogames, netflix & co, medical progress, online shopping of any goods you can possible imagine, ability to travel the world for cheap.
The problem with the CPI basket is, it needs to be constant of products to be comparable, so NO technological advancement is considered in that basket. Instead, they use the price of butter and tomatoes. Well, a fictious 1950s person wouldn't care that is can buy more butter or tomatoes than we can, but would want smartphone and a plane ticket to thailand.
I'm sorry but videogames and Netflix have done exactly nothing for my quality of life. In fact, I wish there were less of both, and multiple other things you listed. I think we have a significantly different understanding of quality.
You might as well complain about that the basket contains tomatoes because you don't like tomatoes.
It's a statistical tool concerning populations, not a sampling of what hacker news user cicko in their wisdom thinks increases quality of life.
It is just an example, but you come to the base of my argument: CPI basket is an average - and you cannot use it to make statements about individuals. If Netflix is nothing to you, then look at houses: My granparents (born even after 1920s) had an outhouse. That means, every time you need to use the bathroom, you left your house through the garden - come wind and weather. That meant in the winter, you were walking through the snow and do your business in a small, smelly outhouse without no access to running water whatsover at sub-zero degrees. Yet there are people running around saying that our grandparents could afford houses, while we can't anymore.
The quality of the house your grandparents (for 1920 probably your grand-gran parents) is vastly different. Those houses cannot be compared at all, when I take my dump in the heated warmth in a nicely smelling place listening to some music over my airpods.