In the last 5 years, 6 teams have averaged a 90 win season over that timeframe: Dodgers, Astros, Yankees, Rays, Braves, and Brewers. The closest commonality those teams have is not anything related to payroll or spending, but to player development, in particular through the farm system. The next two closest teams are the Cardinals and Guardians which furthers the point. In the current environment(teams hoard prospects, FAs are almost all 30+ and carry draft penalties), if you are not good at player development, you will run out of rope and the team will suffer, we've seen this happen to the Cubs first hand, but the Red Sox, Nationals, and Giants are big market teams that have seen this happen to them too. What's especially bad is that the results of player development(especially thru the farm) are a lagging indicator, so by the time that well dries up you will be in for more pain in the short term even if you address the problems.
What that means is that if you diagnose your org is bad at player development *today*, it's very difficult to keep the ship afloat in the ensuing years. This is the realization that Theo/Jed had around 2019-2020, and the things they believe they fixed are just now starting to begin to trickle to the MLB level(compare the excitement over this year's Iowa roster to the last...5 years? 8?), and that informs Jed's aggressiveness for 2023 in particular. He clearly believes they have a pipeline of good players and the faucet essentially gets turned on this year(Wesneski, Mervis, Morel, Davis, etc) and won't stop afterwards if they're doing their job right. But without that in place there's a ceiling to how good they can be, and he wasn't willing to borrow much from 2024 and beyond to prioritize 2023 when it's supposed to be the first competitive year of many. So he took the payroll higher than it has been in years(both nominally and relative to the league) to raise the floor of the team to make this year as good as it can be. As a result this year should be better than last year and they should be pretty good even if they aren't a playoff team, but it's still the proof of concept and there should be belief that further investment(trading prospects, more FA aggression, going into the LT) is in the plans for 2024 and beyond. I can understand that not everyone has that belief and that's fine, but we've seen that skepticism-as-default thinking doesn't have a perfect track record either.