If you don't check the checkbox, the plane will be gone when it is lost, in the air, for the first time. Like you take off and crash, it is gone. You need to find another one. This way you can have decreasing population on an airfield, for instance.
If you check the checkbox, a plane that gets lots in the air gets immediately respawned as a stationary.
The "spawning from stationary planes" feature doesn't effect how stationary planes as such are being handled. They get destroyed, they are gone, and spawning from stationary planes cannot be done.
It appears that you're looking for some kind of indestructibility feature for static planes so that they cannot be destroyed for good, which is also an interesting option, but not part of the scope for the spawning feature.
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