1 To what extent does an understanding of the features of the construction industry account for the problems that arise during building projects.
2 Although there are many firms in the construction industry, the majority of markets are oligopolistic. Explain this apparent contradiction and comment on the degree of competitiveness between contractors in construction markets.
3 Explain what is meant by the terms “profit margin,” “asset turnover,” and “return on capital employed.” Demonstrate how they may be used in combination to account for the behaviour of firms in the construction industry.
4 Describe the corn model to show how surpluses are produced and show how the production of surpluses lead to conflict in the construction industry.
5 Can the multiplier effect be used to explain how the construction industry may be used to stimulate the economy in the UK or are there other reasons that account for the way large construction projects may boost economic activity.