I'm not sure that this little nugget of wisdom has withstood the test of time. The average number of hours worked has fallen dramatically since the 30s[0] even as interest in passive entertainment has skyrocketed.
The core of it stands that 'urban populations have become mainly passive'. Perhaps I'd consider revising to replace passive with consumers. So, we've been taught and continually urged to spend our idle hours consuming. So, it isn't a surprise to me that most folks don't know any other way to spend their time.
Leisure != time outside of work. If you're commuting, if you're too exhausted to get off the couch, if you're on-call and worrying about interruptions, then you're not truly at leisure.
Meh. I would bet that has way more to do with the cost of travelling to Boston for the average person around the world and the growth in prestige of that particular event.
Also, athleisure is "active" in the literal sense, but is it contributing anything back to society? I guess one could argue it collectively reduces the cost of our growing passiveness. But I would argue, as someone who loves exercising, that exercise is just a video game that makes you feel progressively better the longer you play it instead of worse. It doesn't serve a broader purpose beyond a certain point of basic health, unless you are so good that other people derive satisfaction from your accomplishments (pro athlete) or you are doing it to form social connections (golf, intramural sports leagues, etc.) or like break a world record or something.
[0]https://eh.net/encyclopedia/hours-of-work-in-u-s-history/