I believe that if you need to lie to your child about what "meat" is, then even you are not completely comfortable about what you are feeding your children.
Those who feed animals to their children should be completely honest about what it is, especially when the children are asking questions about it. Lying to your children about "meat" shows that deep down, even you have issues with the idea of eating animals.
For example, I'm quite confident that Ted Nugent has never lied to his kids about the eating of animals. He's likely been completely truthful about the entire issue, demonstrating that he's comfortable with his position. That is much better than someone lying to their child about what it is or "bending" the truth to make it sound less harsh.
"Meat" is harsh. It's slaughtered animals. The red is not "juice," it is blood. It is rotting, decaying flesh.
We don't lie about corn, eggplant, lettuce, or bread. Why would someone lie about meat? Because the unpleasantries that surround "meat" are so uncomfortable. Even most adults will hold their hand up and give an "I don't even want to know" when you talk about the realities of it.
Kids naturally have an inclination to not want to eat or harm animals. Parents lie to get them to ignore that call. They know if they tell their kids the truth many will want to stop eating the animals. And quite honestly, that scares the hell out of them, because they can't bring themselves to stop eating meat.
Keeping children ignorant about the eating of animals is ridiculous. Companies spend billions of dollars per year to push junk-laced products onto our children. If they can't trust their parents to get honest information about what they are eating, who can they trust?
Again, I urge any parent that feels uncomfortable about being honest with their young child about "meat" to spend some time examining their own feelings toward the issue. If you feel meat is so great and eating it is justified, then you should have no issues being honest with your child.
There is not one "food" item in the world that I feel I need to lie or bend the truth about for my children. Since the earliest ages they have been taught in an honest and open manner. They probably know more about "food," and especially "meat," than most adults do.
Perhaps that is why when I picked them up from an event recently the women running it told me what a wonderful eater my children are. She was shocked that my son was eating vegetables - the same kinds of vegetables that the other children were pushing away and finding so disgusting. She also gave me a high-five when I told her my kids have never stepped foot into a McDonald's... ever.