With these definitions the “Savings equals Investment Identity” is a true identity, that is easily understood, and is always true “by definition”. It is not an “equilibrium” that the economy is always tending towards. It is something that, for any defined time period, will always be exactly true. Now I wish to show how adopting this model we can also show that not only is Savings equal to Investment but the money saved by the end of the given time period is actually the SAME money as the money used for the investment spending. And investment cannot occur with money acquired as income in the current time period, because otherwise, it would meet our definition of consumption.
I was in a department store once this was probably 10 years ago and I went to the ladies restroom I was sitting on the toilet and I had my head down and I heard a loud clanking sound and I looked up and a man had ripped my stall door open and was standing there touching himself I was so shocked I didn’t know what to do, I quickly dressed and got up off the toilet and he ran off and I called the police but they never caught the guy, that was very creepy