Rack server VS PC VS Workstation ???
Rack servers are not necessarily low specs, you can throw a dual socket EPYC 64 cores if you want ...
Usually the server stuff are not as shinny as the desktop counterpart, look quite boring and have very limited I/O but on the other end they are design to sustain workload 24/7 in a very tight space (premium per square foot can be way more expansive that hardware in some places) and are therefore using adequate long lasting components.
The price increase is often linked to those durability features, security and maintenance aspects (hot swappable PSU, fan etc ...) which we don't necessarily find on desktops. Also, some components are pretty expensive because of the form factor. Fitting a 2000w PSU and a very high air flow fan in a 1U form factor is pretty challenging.
In the end they are all computers with a CPU/PSU/Motherboard etc ... Just some features which are better suited for each applications.

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