1. What is human capital and why is it crucial to expand human capital as part of the development process?

2. Explain some of the reasons why developing countries have not realized a greater positive development impact from their higher education programs.

3. Why should the development of a solid elementary education system take precedence over an expansion of the university system in developing countries?

4. Explain why the education of girls is probably the most cost-effective development investment. Be sure to include in your answer some discussion of at least two of the following: absolute poverty, health and development, fertility, and agriculture.

5. How can an increase in human capital lead to an increase in GDP? Why might it not lead to an increase in GDP?