The level at which commercial lending institutions set mortgage interest rates has a significant effect on the volume of buying, selling, and construction of residential and commercial real estate. A researcher collected data on annual average mortgage interest rates (for conventional, fixed-rate, 30-year loans) for the period 1987-2010, and run a linear trend regression of Y (average mortgage interest rate expressed as a percentage) on X (time period, X = 0, 1, 2......n). The estimated equation has a Y-intercept of 10.50 and a slope of -0.24. The Y intercept can be interpreted as

	a.	The predicted average mortgage interest rate set by commercial lending institutes is 10.50% in 2010.
	b.	The predicted average mortgage interest rate set by commercial lending institutes falls by 10.50% per year, on average.
	c.	The predicted average mortgage interest rate set by commercial lending institutes rises by 10.50% per year, on average.
	d.	The predicted average mortgage interest rate set by commercial lending institutes is 10.50% in 1987.