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1.My friend and I want to do the Jam, but the only problem is that between February 1st and February 8th, we both have real school (not online). Is that ok if we begin to make the game before it start?

2.When you said that "limit the number of pixels the player sees to 84 x 48. It must also be able to solely use the provided palette." What do you mean by that?

1. The start date and time is in place so everyone is on a even playing field and has the same amount of time to make their game. The core of your game should be made within this timeframe. You can establish a base framework (see the templates on the resource page) and I can't stop you from thinking about what you would like to make since a theme is not enforced. But in the interest of fairness everyone should make their game within the time period specified. 

2. That particular line is talking about game engines. A game engine that has a set resolution can still be used if you can find a way so the player only sees 84x48 pixels of the space. If you're using a "mainstream" engine like GameMaker or Unity you don't really have to worry about this as you can just set the games resolution/camera viewport to 84x48.