Re: S=I, an old debate.

[Bruce McFarling <ecbm@xxxxxxxxxxxxxxxxxxx>]

At 11:23 AM 18/08/1998 -0700, Chas Anderson wrote:

>In either case, purchases of financial assets have increase, without any
>fallacy of composition and with total consistency in an aggregative
>sense. In many ways, this definition opens avenues to understanding
>economics where the value of unconsumed output concept will not
>let us go.

        But you are atill double counting, because sales of financial
assets have increased along with increased purchases.  NET saving is
unchanged unless the financial assets were newly created.

        As to whether I am using undefined terms, I am (in keeping
with the expressed purpose of the list) attempting to use the
definitions in the GT.  If your reading of the GT definitions and
mine are at odds, that may or may not be another topic for discussion.

Virtually,

Bruce McFarling, Ourimbah, NSW
ecbm@xxxxxxxxxxxxxxxxxxx