Let x, be the annual growth rate of the money supply and y, be the unemployment rate in year t. Both y and xt are stationary, and are modelled as a vector autoregression (VAR) model. The VAR model has certain merits. For example, the equation for yt in the VAR model takes advantage of O a. the predictive power of the lags of xt- O b. the predictive power of the lags of yt. O c. the predictive power of xt. O d. both the predictive power of the lags of x, and the predictive power of the lags of yt O e. the predictive power of the lags of xt., the predictive power of the lags of y, and the predictive power of Xt