Thanks for the patch, Kim. A couple comments:
o MERGE and MATCHED are non-reserved keywords, so they should not appear in this list.
o While I was in there, I discovered some other problems with this page:
OVER and ROW_NUMBER are non-reserved too, so they shouldn't appear in this list
CHARACTER_LENGTH and LEADING are reserved keywords which should appear in this list
o I see that the functional spec incorrectly describes the restrictions on identity and generated columns. I will update the spec to say this: INSERT column lists may not mention identity columns. In a VALUES clause, DEFAULT is the only value allowed for generated columns. On the right side of SET operators for UPDATE actions, DEFAULT is the only value allowed for generated and identity columns.
o I think it would be good to state somewhere that the row count for a successful MERGE statement is the total number of rows inserted, updated, and deleted by the statement.