This video explains why the 2 by 4 is getting smaller and smaller. The dimension has been modified several time over the last 100 years. There are several reasons that have driven this reduction over the years.

References
[1] The Forest Products Laboratory, "History of Yard Size Standards," U. S. Department of Agriculture, Madison, Wisconsin, 2964.
[2] R. S. Kellogg, Lumber and Its Uses, Chicago: The Radford Architectural Company, 1914.
[3] Canadian Wood Council, Wood Design Manual, Canadian Wood Council, 2017.
[4] J. Dinwoodie, Timber: Its nature and behaviour, London: BRE, 2000.

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