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Does volume follow share? The case of the Danish construction industry

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  • Roberto Pietroforte
  • Tullio Gregori

Abstract

In 1992, Ranko Bon argued that in highly developed countries the relatively declining economic importance of the construction industry is followed by the absolute decline of its output. The shrinking volume has implications with production capacity that, at a certain point of economic maturity, tends to be added at a slower rate than in the past. By using statistical data of the Danish construction industry, this study attempts to verify Bon's proposition. The absolute decline of housing investments partially supports such a proposition. What is more, since the peak of the mid-1970s, the addition rate to the capacity of the Danish economy has slowed down.

Suggested Citation

  • Roberto Pietroforte & Tullio Gregori, 2006. "Does volume follow share? The case of the Danish construction industry," Construction Management and Economics, Taylor & Francis Journals, vol. 24(7), pages 711-715.
    • Handle: RePEc:taf:conmgt:v:24:y:2006:i:7:p:711-715
    DOI: 10.1080/01446190500204606
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    References listed on IDEAS

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    1. Roberto Pietroforte & Tullio Gregori, 2003. "An input-output analysis of the construction sector in highly developed economies," Construction Management and Economics, Taylor & Francis Journals, vol. 21(3), pages 319-327.
    2. Maddison, Angus, 1987. "Growth and Slowdown in Advanced Capitalist Economies: Techniques of Quantitative Assessment," Journal of Economic Literature, American Economic Association, vol. 25(2), pages 649-698, June.
    3. Shirley, Chad & Winston, Clifford, 2004. "Firm inventory behavior and the returns from highway infrastructure investments," Journal of Urban Economics, Elsevier, vol. 55(2), pages 398-415, March.
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