

Spaces behave like this because markdown was designed to be like HTML but quicker to write and easier to read without formatting;
most web services that use markdown translate it to HTML rather than parsing it directly, and in HTML whitespaces are supposed to work like you demonstrated in your comment.
The reason for this behavior in HTML is “because someone in the 90s said so”, I’m afraid.
It does look like AI though.
Both arms have weird proportions, yet the image is full of details; there’s an odd seam on the right arm, the breasts are too high (forgiveable novice painter mistake (although IIRC the real statue of liberty has no visible breasts)) but again the clothes’ folds are below them are oddly detailed, and look wrong.