Abstract
In Japan, it has been said that productivity in construction industry is lower than other industries. Also, reduction in public investment has led to a cost reduction of excessive and may hinder the improvement of productivity in the construction industry. The purpose of this paper is to summarize how technology in construction industry progress under the social background and clarify the issues of the construction industry in Japan. In empirical study, Total Factor Productivity of construction industry was calculated as an indicator of technological progress in macro and microeconomic levels. In macro study, TFP in construction industry is compared with TFP in other industries. In micro study, TFP of each contractors company was compared by each hierarchical levels. Then, each characteristic is clarified and the issues in Japan was considered. As a result of macro study, TFP of construction industry has declined. Also, in the micro study, TFP in higer level of company has increased but in lower one has declined. These results suggest that construction industry has employment adjustment issues.
