I am either forgetting something, or completely stupid.
Info: Small Block Chevy, AAW wiring, everything worked fine until this.
My starter went out and just spun, solenoid bad. OK easy fix. I purchased a new starter and solenoid as one unit and installed it. Here is where the problem starts. I have the battery and associated wires going to the battery terminal. The purple ignition wire to the S terminal. When I turn the key to on, i hear the fuel pump going, so I have electricity. When I turn the switch to start nothing happens. Why not I say? I have checked the wiring, With the ignition wire disconnected from starter, and a light tester on the wire, when the ignition switch is used, the tester is bright. When I plug the wires to the starter, and use the switch, the light tester is dim, like only a little electricity is flowing. If I use a screwdriver, I can jump starter and it works fine.
You should check the purple wire with something other than a test light as it doesn't have enough draw to show a real problem. A high beam headlamp will draw much more power and isolate if you just have broken wires or poor wire to terminal connection in the purple crank circuit (which will flow 12v no problem, but very low amps). A voltage drop test with a multi-meter from your ignition switch to the starter solenoid can also show if its a bad wire as well. I'd go from battery positive to starter solenoid to check the whole crank circuit and work it down to segments from there i.e starter solenoid to ignition switch, input to output through the ignition switch, ignition switch to battery ect.
As you can jump the solenoid with a screwdriver and it cranks fine that would indicate that the battery supply cable is ok as well as the ground.
We agree with AJ; you will have to get in there with a multimeter and test the voltage of that purple solenoid wire. Moving around old wiring can cause connectors to come lose, and the starter is wiring is notorious for that sort of thing.