Backward Linkages from Construction

Kenneth Gibb and Margaret Keoghan
Additional contact information
Kenneth Gibb: Centre for Housing Research and Urban studies, University of Glasgow
Margaret Keoghan: Centre for Housing Research and Urban studies, University of Glasgow

Local Economy, 1998, vol. 13, issue 3, 198-215

Abstract: One argument for increasing construction investment is the number of jobs and related multipliers associated with property investment. However, economic activity does not begin and end with actual construction: there are important backward linkages into the input markets for construction. If these markets can be shown to be primarily indigenous or at least with the potential to be locally-based, then there are wider local and regional benefits that may accrue from construction programmes. This paper is based on recent Scottish research which traced back the linkages from construction to specific building supplies markets in materials, semi-finished and finished products. Strong economy-wide multiplier effects are identified for construction output, for those on low incomes and in terms of job creation. Scottish construction is found to be primarily self-contained with consequent opportunities to maxi-mise the local economic impact of construction work. The research suggests that policies need to target specific supply industries, meet the skills shortage challenge and confront the problems associated with construction tendering.

Date: 1998
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1080/02690949808726444 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:loceco:v:13:y:1998:i:3:p:198-215

DOI: 10.1080/02690949808726444

Access Statistics for this article

More articles in Local Economy from London South Bank University
Bibliographic data for series maintained by SAGE Publications ().