>Fallacy applies only to incidental breaking of glass like child smashing window paying football.

It does not. Scroll down in the given article, and you will find war as another example.

As GP said, it's a terminology issue. War spending, including defense spending, is not productive, because it does not produce wealth. It does not mean that protecting yourself from enemy countries or criminal is useless, or not worth it.

Nobody claims investing in security is a bad idea. It's just not productive, in the economic sense.