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That's questionable. Defense employs a lot of white collar workers in things like design and development of aircraft, weapons systems, satellites, SIGINT, etc. It's not clear that the same level of jobs would be there for an FDR-like program. Sure, the country's infrastructure would be better off and we would probably have more people employed per dollar, but I'm not sure the economy as a whole would be better off.

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Presumably these white collar workers are valuable and employeeing them with confiscated money on a useless task is much worse for the economy than both the counterfactual in which the government does not bid for their labor and the one in which these resources are used to subsidize public goods such as basic science research and merit goods such as public infrastructure.

Again, I'm not convinced that's the case. You're implying that, for example, almost the entirety of the employees at Lockheed, Raytheon, Northrop, General Dynamics, etc. and a good chunk of the employees at companies like Boeing would somehow be redistributed into the broader economy at a similar compensation level. That's upwards of a million white collar workers. You can't magic all those people into the broader economy without serious impacts, and replacing the expenditure on their salaries with expenditure on things like basic research and public infrastructure does not equate to the same economic outcome. I'm pretty sure doing so would further stratify the economy by replacing solid middle class jobs with a few tech and research jobs and a lot of blue collar jobs.

It’d help correct inflated housing prices. Think of all the paper pushers with security clearances making $100k+

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