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I agree... but money does not get used up, it just exchanges hands. The only way it gets used up is through inflation or if it permanently leaves the global economy. In a keynesian theoretical model savings, that are not in bank to be loaned out, also "uses up" the money supply because it is no longer in circulation. In the Austrian model savings represent the next boom, which is sustainable versus a credit boom; so money taken out of the system for savings is not necessarily bad... It all comes down to human action, and the study there of, or "praxeology".
I completely understand your thought process; however, I would argue that the private sector can generate more activity or work in the economy than the Federal Government can by operating in a more efficient manner or producing more returns on the same investment.
I still think you need to look up the "praxeology" model or the "Austrian Business Cycle".
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