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The Economics Of Property And Construction

There are THREE questions in this assignment.

The overall word length for this assignment should be in the range of 2,000-2,500 words. You may incur a penalty if you exceed the upper value. You must state the total number of words used at the end of your assignment; however, the content of appendices and references/bibliographies may be excluded from your word count.

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Use diagrams where appropriate.

QUESTION 1

'In analysing the market for property space the important feature about demand is that it is derived and the important feature about supply is that it is inelastic.'

Critically discuss this statement with reference to theoretical insights into the demand and supply of office space.

QUESTION 2

Explain how innovation and mechanisation in the construction sector of your economy could influence productivity.

QUESTION 3

Explain, with examples, how urban planning policies can reduce the adverse effects of the following property market inefficiencies:

a)      seller power

b)      imperfect information

c)       external benefits.

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