Mortgage debt, part 2.

Here are some more interpretations of the regression model to predict the personal monthly payable mortgage debt developed in Exercise 24.

One of these interpretations is correct. Which is it? Explain what is wrong with the others.

a) Without considering the interest rate, the personal monthly payable mortgage debt is $555.68.

b) The personal monthly payable mortgage debt decreases on average about $56.43 for every 1% increase in the interest rate, after allowing for the personal income effect to remain constant.

c) For every 1% increase in the interest rate, the personal monthly income increases by $0.83.

d) For each dollar increase in the mortgage debt, the interest rate decreases by 56.44%.