Aesthetics are at the heart of civilization, not incidental to it. Aesthetic sense should reinforce the values of a society and remind people of them at every glance. They are physical evidence of the refinement of a culture, as well as a message and inheritance for future generations.

This is why we need to have beautiful buildings, streets, and public artisanry as opposed to merely functional ones. Beauty is indeed an aspect of function.

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Education plays a big role here

The failure of architecture (or one might argue success of the Bauhaus school) and the misguided teachings by 'prestigious' urban planning programs created a bunch of culturally void, efficiency hawks

Part of it is also the entry requirements skewing skills towards math and physics, instead of the arts, humanities, etc