"...government borrowing didn’t divert funds from the private sector; it created entirely new money..." The general answer to this is that public spending crow

"...government borrowing didn’t divert funds from the private sector; it created entirely new money..." The general answer to this is that public spending crowds out private spending as both are bidding for the same goods and services. Not sure if that's a good explanation, but the article doesn't seem to address that conventional wisdom.