Use the data below to estimate a linear regression model with home price as the dependent variable and S&P500 EPS, Household income growth and population as independent variables

Home Price IndexS&P 500 EPS ($) Household income growth (%)Population (millions)

30-Sep-20208.6 99.25 4.89% 330.66

31-Aug-20208.13 99.73 4.66% 330.53

31-Jul-20208.65 100.39 4.26% 330.38

30-Jun-20208.34 101.24 1.92% 330.33

31-May-20206.83 107.64 2.29% 330.05

30-Apr-20205.15 113.49 3.39% 329.73

31-Mar-20203.16 118.54 -0.86% 329.59

29-Feb-20201.56 126.12 -0.65% 329.46

31-Jan-20200.08 134.33 1.21% 329.34

31-Dec-19200.29 142.75 1.56% 329.14

30-Nov-19201.2 140.38 5.09% 329.02

31-Oct-19201.05 138.07 4.76% 328.89

30-Sep-19200.48 136.14 2.37% 328.58

What is the interpretation of coefficient for Household income growth?

A)Every 29% increase in household income growth will cause home price index to increase by approximately 1 point.

B)Every 29% increase in household income growth will cause home price index to decrease by approximately 1 point.

C)Every 1% increase in household income growth will cause home price index to increase by approximately 30 points.

D)Every 1% increase in household income growth will cause home price index to decrease by approximately 30 points.