Going by the price tags I have on various old boxes of film I think film is actually about the same price today as it was 30-40 years ago.
A roll of Plus-X in 1958 was 99 cents, or a bit over $7 today... which was around what it was selling for on store shelves when they discontinued it last year. A roll of Verichrome Pan was 55 cents in the mid 1960s, or about $4 in today's money, so again about equivalent to today's film prices.

Are prices way too low? I can't answer that, I don't know. But it does certainly seem that prices have held pretty steady for the past half century.

PS: I hope 127 doesn't go extinct!