This is not just a thing with dogs, but also with cats. Some cats want to be barn cats. Others do not.

My current cat, Opal, was a former feral cat. She was rescued by a farm lady here in Texas who kept rescues as barn cats. She would provide food and water and annual vet visits as well as affection. But Opal wanted to be around people all the time, so the farm lady rehomed her to me.

My current dog is a German Shepherd who is in the house with me. I would NOT want a GSD to be an outdoor dog IF the dog was being chained to a doghouse in a tiny yard most of the time. But the situation you are describing is very different, and is SOP on farms and ranches. There are still plenty of dogs treated like this in rural parts of America and most of them are healthy and happy.

I think people have misconceptions about dogs and cats. they are not babies. (well, once they are adults anyway). We ARE responsible to care for them. but we shouldn't infantilize them. A dog that was bred to have a job enjoys doing that job. Many cats are happy living in barns and hunting mice.

My dogs and cats have always been house pets because I don't live on a farm. That does not mean I don't understand that this is not the only model for a good life for the animal.