Golf Clubs: Are they really still getting better?

As an avid experienced golfer of nearly 20 years, I have seen and experienced unbelievable improvements in the golfclub. Club shafts have went from hickory, to steel, to graphite, and back to steel again. The clubface packs an MOI higher then ever seen before. Weighting options on most drivers, irons with more forgiveness than ever, yet the golf companies just keep giving us more every year. However, I feel like since 07,08 the clubs themselves have reached their peak in technology, maybe not for good, but a peak none the less. Colors, ad campaigns for "THIS Years Model" keep us coming for more. So my question is, how much better are they getting now? Are 2005-08 clubs just as effective as their newest brother in 2011? Is the Taylormade R11 all that superior over the R7? Are the Callaway X24's irons vastly improved over the X12's, 16's or 20's? Obviously wear and tear will have an affect, but what is your opinion? What do you use as your weapons of choice?