I’m not an economist anymore. But I do remember a few thing of economics to understand that, at least the last time I checked, savings was not defined as “as the resources put into investment projects”. Scott Summer says also that S=I, but he doesn’t seem to know that there is a difference between saving ex-ant and saving ex-post. That’s a really silly statement. And Tyler Cowen says that he agrees that Scot Summer is correct in his post. Nooooooo!
ps.: if you don’t trust me on this, fair enough. But just google saving definition within any book (for instance, in Mankiw’s book), and you will find that: “private saving: the income that households have left after paying for taxes and consumption” (Mankiw’s book), which is pretty much what I said.
Manoel Galdino
Marcel K.
