An economy is in equilibrium. From the following data, calculate the value of Autonomous Consumption. National Income = ₹ 5,000 crore Marginal…

Given, Y = ₹ $\displaystyle 5,000$ croreMPS = $\displaystyle 0.2$MPC = $\displaystyle 1$ − MPS = $\displaystyle 1$ − $\displaystyle 0.2$ = $\displaystyle 0.8$As we know, at the equilibrium level Y = C + I$\displaystyle 5{,}000 = \bar{C} + (0.8)(5{,}000) + 800$$\displaystyle 5{,}000 = \bar{C} + 4{,}800$$\displaystyle \bar{C}$ = $\displaystyle 5,000$ − $\displaystyle 4,800$ = ₹ $\displaystyle 200$ crore