I would have maddest about the inference that you were being cheap by giving a quilt. Quilting is not a cheap hobby - in fact, it is pretty expensive compared to most. It's not just the fabric and batting, it's the sewing machine and the longarm and the pattern/book, the thread and quilt stencil and the classes. All those indirect costs are part of the value.
And if I valued my time spent on a quilt at the rate I make on my job, you could probably buy a decent used car cheaper. I think I would have laughed and told my DH to tell her how I was 'saving' us into the poorhouse with my quilts.