A government announces a decision to increase investment in spending on higher education with the intention of increasing the participation rate in higher education by young people, to 45 per cent (i.e. that 45 per cent of school leavers choose to go to university).

a. Does it matter what sort of degrees these young people do at university?

b. To what extent is the proportion of young people going on to university an important factor in improving the quality of human capital?

c. What else might the government need to put in place to ensure that the policy is a longer-term success?