Careful with that. It’s an accounting identity, and those have a reputation in economics for being easily misleading. Terms in accounting identities are usually aggregates of other terms with lots of interactions which are nonobvious from the identity.
Careful with that. It’s an accounting identity, and those have a reputation in economics for being easily misleading. Terms in accounting identities are usually aggregates of other terms with lots of interactions which are nonobvious from the identity.
Yeah, I’ll second the caution to draw any conclusions from this. Especially because this is macroeconomics.