Comment on each of the following statements:a. Given the work life cycle of the ?traditional? woman, it may be rational for women to invest in less human capital than men.b. Older workers are less mobile geographically than younger workers.c. An economic recession tends to stimulate college enrollment.d. One of the disadvantages of Social Security?s benefit reduction rate (reducing benefits when earnings exceed a certain level during retirement years) is that it biases investment away from human capital and toward bonds and stocks.e. The age?earnings profiles of Figure 4.1 clearly indicate that people with more education earn more than people with less education; therefore, personal spending on education is always a good investment.

Figure 4.1

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140 130 120 I 7+ years 110 100 16 years 90 70 60 50 12 years 40 <12 years 30 20 10 65+ 18-24 25-34 35-44 45-54 55-64 Age Annual earnings ($1,000s)