B. Let h denote human capital. Parent's can invest resources in the produc- tion of their children's human capital (h) in two periods: early childhood (i) and adolescence (i;). Governments can also invest in the child in each of the two periods (government investments are gp and g;). Government investments are exogenously chosen by the government and takes as given by parents. The production function for h is the following: 8 he = A ['Yozg + 'le " hg where A is innate ability of the child and hp is parental human capital. zp and z1 are a composite of parental and government investments: zy = go (4o, go) and z1 = g1 (i1, 91). Assume that ] 00,1]| and