Yes, I used to live on $50-80 a month. I paid $300 a month in rent a month and made $380 a month. $30 or so was used for other things such as phone bill (metered $12 a month), soap/shampoo, clothes.
Sam's Club (my bro was a member, and we'd go there together) was my friend, and buying in bulk. Of course deals and coupons worked wonders too. I remember buying Mac and Cheese when it was 4 for $1. Lots of huge bags of frozen vegtables I'd steam, and mix in with noodles and frozen chicken breast.
The most expensive was the dairy, such as milk and butter. But you can learn very quickily to find whats cheap and stick to it if needed. And only use what you need. I only used milk to make Mac and Cheese. Never to drink. I used only half of what was required of butter for Mac and Cheese. Made it taste kind of funny, but you got used to it.
Most people have no clue what it is like to live cheaply. I'd like to see a real recession.

People these days spend $80 in a meal at a resturant from time to time, and I had that a month.