Question: This is all one question. The question description is in the first photo with a table and the problem questions are in pt. a. Based

 This is all one question. The question description is in the

This is all one question. The question description is in the first photo with a table and the problem questions are in pt.

first photo with a table and the problem questions are in pt.a. Based on the summarize table, what is the monthly consumption on

a. Based on the summarize table, what is the monthly consumption on average? Approximately, what percentage of income is used for consumption? b. When interest rate is high, consumers will save more and thus consume less. This motivates us to put 655 into the basic consumption function. Based on the regression results above, write out the resulting equation (regression line). How do you interpret the intercept and slope values of the regression line? Do they make economic sense? C. Is overall model significant? Explain. d. Write an equation to predict the consumption given the income is $10,000 Billion $ and interest rate is 2 (unit: %).

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