The economy is not a static thing in which the same goods and services are offered independent of the wealth distribution. The same work is not done.

When wealth is concentrated, prices cease to aggregate information and preferences from across the whole society. Instead they represent whatever stupid whim some clique of investors has developed. As a result you get massive malinvestments in speculative bullshit while basic things decay. It's the Politburo but dumber.

This determines the physical environment you live in, the services offered on your street, and the stuff you do at your job.