My first PC, little more than entry-level (k6-166, 32MB) with mid-range graphics card, cost more than $2000 in 1997. The 17" CRT little less than $1000 (prices VAT included) (Note: I'm doing approximated conversion lire/$ and euros/$)
Three years later I was able to upgrade it completely (except for the monitor, then still good), Duron 650, 128MB, later expanded to 384, bigger HD, ATX case, GeFo II MX, etc. for less than $1000, more than triplicating performances.
After I spent very little to update it every now and then, roughly $300 the first time I upgraded again mobo, cpu (Athlon 2200+) and RAM, after I spent little more than $60 for an entry level graphics card at least twice faster than the mid-range of 5 years before) and I also sometimes buy bigger HD's for little money.
I also upgrade optical units as soon as the newer tech writers get cheaper than 90-100 euros, $130-140, so this time i bought another DVD-R, as next tech writers are still expensive.
My second and actual 17" CRT cost little more than $100 two yrs ago.
Now I'm planning to spend roughly $500, more than last time as this time I bought a new case, because the desktop one I bought in 2000 is very cramped and difficult to work in and it can only house little, noisy fans. I also bought big silent fans, dust filters, noise and vibrations absorbing stuff and this time I'll buy a midrange CPU (AMD as always, a 5000+, I think).
I'm quite a moderate retrogamer, I have quite old and not very new games, the newer I'm going to buy now is NWN, as first I haven't enough time to keep the pace of the release of games I know I could like, second I always wait for patches to be released and to public's and more than a few magazines judgment to promote a game before buying it, third prices get lower with time, so, after the expensive first PC, I always managed to buy hardware adequate for the games I was currently playing for little money.