  We study M/L evolution of early-type galaxies using dynamical modeling of
resolved internal kinematics. This makes fewer assumptions than Fundamental
Plane (FP) studies and provides a powerful new approach for studying galaxy
evolution. We focus on the sample of 25 galaxies in clusters at z=0.5 modeled
in Paper I. For comparison we compile and homogenize M/L literature data for 60
nearby galaxies that were modeled in comparable detail. The nearby sample obeys
log(M/L)_B = Z + S log(sigma_eff/[200 km/s]), with Z = 0.896 +/- 0.010, S =
0.992 +/- 0.054, and sigma_eff the effective velocity dispersion. The z=0.5
sample follows a similar relation but with lower zeropoint. The implied M/L
evolution is Delta log(M/L) / Delta z = -0.457 +/- 0.046(random) +/-
0.078(systematic), consistent with passive evolution following high-redshift
formation. This agrees with the FP results for this sample by van Dokkum & van
der Marel. This confirms that FP evolution tracks M/L evolution, which is an
important verification of the assumptions that underly FP studies. However,
while we find more FP evolution for galaxies of low sigma_eff (or low mass),
the dynamical M/L evolution instead shows little trend with sigma_eff. We argue
that this difference can be plausibly attributed to a combination of two
effects: (a) evolution in structural galaxy properties other than M/L; and (b)
the neglect of rotational support in studies of FP evolution. The results leave
the question open whether the low-mass galaxies in the sample have younger
population ages than the high-mass galaxies. This highlights the general
importance in the study of population ages for complementing dynamical
measurements with broad-band colors or spectroscopic population diagnostics.
