answer:First of all, they don’t spend it, so it lowers the velocity of money in the economy, thus decreasing the size of the economy. Give a rich man $1,000 and he sticks it in the bank. Give a poor man $100 and he spends it at places where other poor people earn money and they spend it too. And, while a rich man’s investments may eventually increase spending on capital projects, it does not move through the economy. And, as you note, it gets invested elsewhere. The other problem is that spending decisions are in the hands of relatively few people. And, by concentrating wealth in relatively few, it makes it harder for anyone else to succeed.