2. a. b. C. d. Consider the following Autoregressive Distributed Lagged, ARDL (1, 1,0) model for three variables Yt, Xt, and Zt is as follows: Yt Bo + B1Yt-1 + BX1 + B3Xt-1 + B4Zt + et Define the long-run coefficients of X, and Zt. Derive the short-run dynamic model. Based on the above three variables, formulate an ARDL Bound cointegration model. Autoregressive Distributed Lag Estimates 3 marks The following estimated ARDL (2,1,0,1) model describing the determinants of financial development (LFD), where three important determinants are trade openness (LTO), Interest Rate (LR), Real Income (LY). The estimated result is as follows: Dependent variable is LFD. 40 observations used for estimation from 1972 to 2011 Regressor LED (-1) LED (-2) LTO LTO (-1) LR ARDI (2,1,0,1) selected based on Schwarz Bayesian Criterion LY | LY (-1) INPT Coefficient 1.0810 -.41834 .12572 -.14231 .027760 -.038038 R-Squared S.E. of Regression Mean of Dependent Variable Residual Sum of Squares Akaike Info. Criterion DW-statistic 13462 .33062 Standard Error. .12988 .11824 .058118 2 marks . 062710 .0093070 .041601 .043269 .11275 2 marks R-Bar-Squared 7, 32) .99827 .018537 F-stat. 4.1721 S.D. of Dependent Variable .010996 Equation Log-likelihood 99.2246 Schwarz Bayesian Criterion 1.9901 T-Ratio [Prob] 8.3233 [.000] -3.5381 [.001] 2.1631 [.038] -2.2694 [030] 2.9827[.005] -.91437 [.367] 3.1112 [.004] 2.9323 [006] .99789 2640.2[.000] .40388 107.2246 92.4691 Based on the above result, compute the long-run coefficients of LTOt, LRt and LYt.