Unplug the red jumper terminal from the over-temperature switch ("red-button thingy") and plug the long red wire from the loom in its place. Plug in the dryer and check for heat. If there is heat, the thermostat ("thermal fuse") is bad.
If you still have no heat, unplug the dryer and restore the long red wire to the original position on the thermal fuse. Then, detach the short red jumper wire from the thermal fuse and transfer the black wire terminal from the red-button thingy to the thermal fuse terminal. Plug in the dryer and check for heat. If there is heat, the red-button over-temperature switch is bad.
Again, be 100% certain to unplug the dryer from 240V current before reaching into the dryer.