We call this matrix Identity and denote it by $I$. But I am not clear with how to assume one matrix to proceed with its solution. The Form of Transformation here is $\mathbb R^2 \to \mathbb R^2$ subspaces. I am quoting the exact question here:
All of the transformations here have the form $T: \mathbb R^2 \to \mathbb R^2$. Find the matrix of the transformation that has no effect on vectors, that is $T(x)= x$. We call this matrix the identity matrix and denote it by $I$.
Any transformation is represented by a matrix. Now, for a $\mathbb{R}^2 \to \mathbb{R}^2$ transformation, this would be a $2 \times 2$ matrix
$$T = \begin{bmatrix}a & b \\ c & d\end{bmatrix}$$
Now, we are given that
$$T\vec{x} = \vec{x}$$
$$\implies \begin{bmatrix}a & b \\ c & d\end{bmatrix}\begin{bmatrix}x \\ y\end{bmatrix} = \begin{bmatrix}ax+by \\ cx + dy \end{bmatrix} = \begin{bmatrix}x \\ y\end{bmatrix}$$
Since this is true for all $x,y \in R$, we have
$$a = 1, b = 0, c = 0, d =1$$