Imagine all of the people cutting into that inexpensive wood without air filtration is terrifying
It’s the plastic stuff that is a bit nasty.
Even in expensive homes in my area it's common because it has a lot of nice properties. Homeowners will pay $15/sq ft, which at that price you could get a real wood floor installed, for LVP that looks pretty realistic, is easy on your joints due to the nice underlayment, and is basically as indestructible as a tile floor.
The wood used matters, and the way it's finished matters a lot, with hardwood floors. You can get anything between amazingly-resilient and scratches-badly-if-you-look-at-it-funny, depending on how it's finished.
Lots of contractors cheap out on the finish, and pre-finished hardwood is pretty much always bad.
Virtually no home manages to hit the minimums for ventilation (25 m³/h per person, IIRC), especially during winter. So even though an E1-class particle board is labeled as safe with regards to VOC emissions, in practice the room will reach far higher pollution levels than that category allows.
It also doesn't control for the amount of material present, so you can have a small properly ventilated room covered floor to ceiling with E1 particle board furniture, but achieve E2 or worse VOC levels in the air.
Backstory: former employer spent $$ to integrate a VOC sensor into their residential HVAC/HRV solution. The idea was to increase ventilation when odors are present and reduce ventilation when the air was clean again. The engineer prototyped and tested the device in their pre-war home (brick, stone, old wood). All good. They had the first batch manufactured and sent out to customers in brand new homes full of modern materials (engineered wood, vinyl flooring etc). The sensors were permanently saturated (reading maximum VOC value) and the project ended up being canceled, because newly built homes were their entire customer base.
I've sworn off particle board in my shop decades ago (for reasons having nothing to do with formaldehyde) but quickly added cheap Chinese plywood to the exclusion list.
I have resigned myself to opening my wallet for the expensive stuff (that costs over $100 for a 4' x 8' sheet, Europly, etc.). Europly at least seems to be formaldehyde free.