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1. What is human capital and why is it so crucial to expand human capital as part of the development process in developing countries? Give concrete example(s) of specific countries as part of your answer to substantiate.
2. Explain some of the reasons why developing countries have not realized a greater positive development impact from their higher education programs. In this context, why should the development of a solid elementary education system take precedence over an expansion of the university system in developing countries? Give specific country example that you find in your readings for the relevant materials.
3. Explain how a better-educated population will also tend to be a healthier, and vice versa, that a healthier population will tend to be better educated. In this context, how can an increase in human capital lead to an increase in GDP? Why might it not lead to an increase in GDP? Give a concrete example as part of you explanation to this question.
For each of the following please illustrate the original and new budget constraints and then explain/show how each option is likely to affect the hours of work.
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