There is one logical gap in this summary: the assumption that the total goods produced remains fixed when the government spends money. This is obviously false, since the things the government buys (the military, medical care for seniors, etc.) would not have been produced (or not as much of it) had the money not been spent. There is a smuggled assumption that the people making stuff for government would have made the same amount of goods for other people, but that isn’t proven.
There is one logical gap in this summary: the assumption that the total goods produced remains fixed when the government spends money. This is obviously false, since the things the government buys (the military, medical care for seniors, etc.) would not have been produced (or not as much of it) had the money not been spent. There is a smuggled assumption that the people making stuff for government would have made the same amount of goods for other people, but that isn’t proven.