The difference is that before social media, the Jones were your neighbors -- your immediate, face to face, irl tribe. Social media makes everyone on planet Earth the Jones (more or less). And, let's not forget, there were no algorithms in old times, there were no bubbles created by those algorithms, there was no 24/7 constant scrolling (more or less)... These all matter, they all have an effect on the brain and on the mind.

I agree that's a difference, I simply don't agree with your original hypothesis. The constant hunger for more and more worldly things isn't going to go away, or even get significantly better, if we erase advertising and social media from the world.

If advertising doesn't induce demand, then what does it do?

I'm of the firm opinion that advertising is snake oil. But even if you do believe that advertising causes demand, it doesn't follow that we would see a significant decrease in demand if advertising was gone. If advertising hypothetically increases demand by 5%, that's not going to make that much of a difference when it's gone.