Construction Economics

Module summary

Module code: BUIL1266
Level: 6
Credits: 15
School: Liberal Arts and Sciences
Department: Design
Module Coordinator(s): Roy Hills / Effiness Mpakati Gama

Specification

Pre and co requisites

A pass in previous study level (Level 5)

Aims

This course introduces the basic concepts of applied economics to the construction
industry and reviews the tools, models and techniques that Quantity Surveyors have at their
disposal. Under this course, the developing nature of whole life costs for construction and the
emerging sustainability aspects will be explored alongside government policy and the
economies that impact upon the development of construction projects.

Learning outcomes

On successful completion of this module a student will be able to:
1 Critically appraise the fundamental aspects of construction economics and analyse the
principles and application of pre-contract estimating, cost planning and cost control
techniques.

2 Apply and analyse appropriate estimating and cost planning techniques to a full range of
pre-contract and post contract situations including different cost data sources and costing
techniques such as the B.C.I.S. database and NRM1 and 3.

3 Analyse and critically evaluate economic factors influencing building cost, life and
performance and the use of systems designed to deliver value for money and cost modelling
in order to improve cost forecasting.

4 Demonstrate an enhanced awareness of bidding theory and strategy and be able to
communicate in an informed manner to identified stakeholders the effectiveness of the
above systems, models and techniques.

5 Evaluate economic factors influencing construction costs, building life and
performance including market variations.

Indicative content

Introduction to
- fundamentals of economics
- supply and demand
- micro-economic theory
- macro-economic theory
- public/private partnership investment
- economics of estimating and cost planning inflation
- construction and economics forecasting

Teaching and learning activity

Examinations, report writing, academic essay writing, assessed presentations, peer review assessments in pairs and small groups, individual and group projects, in-class question and answer sessions and online forum discussions (via Moodle).

Assessment

Written exam - 100%
LO - All.
Pass mark - 40%
2 Hours written exam.

Nature of FORMATIVE assessment supporting student learning:
In class steering on coursework assignments with space provided for questions answers around work in progress. Model answers to in-class exercises subsequently posted on Moodle.