I am unsure of what you are arguing at this point. " creating glucose from a non sugar" is not misleading at all, as you yourself say "it creates glucose from lipids, proteins and other things." So by your own admission it is creating glucose from non sugar materials. Yes you are correct in saying that we slip in and out of gluconeogenesis all the time. However you are wrong in saying proteins is not a last resort.

Your body is a high efficient machine, it wants to create the most energy with the least amount of work. When your body is craving glucose for energy it can turn to basically lipids or proteins to create glucose. Now carbs (or sugars) brings to your body 4kcal/gram. proteins brings 4kcal/gram and fats brings you in a whopping 9kcal/gram. So your body is going to use the substance that gives itself the most energy. and apart from keeping you warm the only other purpose of fat is stored energy. That's simple science. Proteins on the other hand make you very acidic when you start breaking them down, and proteins are such an essential building block in everything, from bones, to muscles to hormones and everything in between. And as duddy stated albumin/ transport proteins are the first thing to go when your body does start using proteins. Your body is not going to sacrifice its structure for energy unless it desperately has to. and i would love to hear why you think the body would sacrifice its muscle to fuel its energy needs when there are so many more proteins readily available.

Even if your theory is correct, it doesn't explain muscle loss. Amino acids are lost and replenished all the time,just because muscle is lost doesn't mean its lost forever. Ever seen someones arm after it comes out of a cast ? it is tiny from non use, and the body broke down the muscle to reduce energy expenditure. But once they start moving it around they regain they muscle size and strength. a PT principle is that a muscle that is lost is not lost forever. Everything can recover. So even if your theory is correct, that muscle gets broken down exclusively during gluconeogensis, that doesn't mean the muscle is lost. The next time the person eats enough the body will replenish all lost structural components