Having done my own research into it several years ago, I arrived at the same conclusion I did nearly fifteen years ago, when I first studied both Keynesianism and so-called "econometrics": you have to be really careful with abstract pure math models; always give them the "common sense" check, because the conclusions can be extremely misleading.
Or, you can let one of the article's comments explain this same notion, another way:
"Equations don't make any sense.
GDP = C + S + T
Sure. I can take what's left of my income after the terrorists take their cut, and I can either consume or save it. That makes sense. But wait a minute. Where is I? I can invest my money also? Is that part of S?
These terms aren't even defined. What if I don't hold my savings as a treasury bond? Why is that separate from investment anyway? People usually talk about investing in bonds.
If I make it GDP = C + S + T + I then the conclusion reduces to G - T = S
This is just the accounting for how many treasury bonds are issued? So what? There are other ways to save money. Nothing in this analysis says anything about actual value, including the value of the underlying currency once you've inflated it away. I'm sure the people of Venezuela have all kinds of savings when they're pushing around wheelbarrows of cash. It says nothing about how the wealth is distributed, as it's all in the aggregate. It says nothing about actual productivity, standard of living, or purchasing power, just useless equations."
GDP = C + S + T
Sure. I can take what's left of my income after the terrorists take their cut, and I can either consume or save it. That makes sense. But wait a minute. Where is I? I can invest my money also? Is that part of S?
These terms aren't even defined. What if I don't hold my savings as a treasury bond? Why is that separate from investment anyway? People usually talk about investing in bonds.
If I make it GDP = C + S + T + I then the conclusion reduces to G - T = S
This is just the accounting for how many treasury bonds are issued? So what? There are other ways to save money. Nothing in this analysis says anything about actual value, including the value of the underlying currency once you've inflated it away. I'm sure the people of Venezuela have all kinds of savings when they're pushing around wheelbarrows of cash. It says nothing about how the wealth is distributed, as it's all in the aggregate. It says nothing about actual productivity, standard of living, or purchasing power, just useless equations."
Or to put it yet a third way, the world is way too complicated to be summed up by an algebraic equation.