قطاع الإنشاءات في الاقتصاد الأردني (1968-1993)‎

الملخص EN

The Purpose of this study is to measure the production function in the construction sector, determine its sources of growth, estimate the marginal rate of technical substitution (MRTS), and assess its annual real growth of output.

Ratios were used to measure the contribution of this sector in the economy of Jordan, and labor market.

Averages were used to measure growth on output, employment, and capital, the ordinary Least Square (OLS), method was used to estimate production function, and the (MRTS).

The results show that (1) the type of production function is a decreasing return to scale, and the (MRTS) between capital and labor is negative.

Moreover, (2) the share of the sector in GDP, and in labor market has declined, and (3) the annual growth of employment in the sector was less than the annual growth of employment in national economy.

The result also show that more capital intensive technology is used in the construction sector, a main factor on output growth, the extent to which the sector was affected by the change of economical, political, and demographical factors in jordan and the sorounded areas during last decades is reflected.

The author expects a positive influence for the peace process in the middle East on construction sector: increasing investment opportunities, demand of labor, and growth of output.

These effects may happen because the construction sector has to implement projects (such as: tourism, water, free trade, transportation, electricity, telecommunication, etc.) a major goal of the peace treaties.