I noticed the same problem after I got Apple Airpods. All of sudden my Magic Mouse stopped working. It responded to clicks but cursor did not move. The problem was solved by remove Airpods from the list of connected bluetooth devises. Go to Preferences / Bluetooth and remove Airpods and mouse. The go to Preferences/Mouse and reconnect your Magic Mouse.
If you run Windows via bootcamp restart in Mac to remove Airpods and re-connect Magic Mouse.
Hope this helps.
Serge
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