Interesting perspective on deregulation.
I remember the days before deregulation and the breakup of Ma Bell. In adjusted dollars the cost for the basic phone service wasn't much less than it is today, but EVERY call that was outside your local area was a TOLL call.
Now we have unlimited free long distance and you can call about anywhere in North America without paying a dime extra - all for the cost of your basic phone service. Was the service better? Probably - but that's because you PAID for it in more ways (and paid more - relatively speaking) than you do today.
I also remember when flying was something only rich people did - because in adjusted dollars it was about 3-5 times more expensive than it is today. In relative terms EVERY ticket cost about what a full-fare first-class ticket costs today. These days, just about anyone can afford to fly. Was the service better back in the old days? SURE - IF you could afford it!
IMO, what it boils down to is reduced quality of service = reduced cost, OR reduced cost = reduced quality of service. Whichever way you want to look at it, all the old sayings apply - there ain't no free lunch and ya' get what ya' pay for...