The research of the US data by Kocherlakota and Yi illustrated that infrastructure does not completely raise economic growth price. Furthermore, the research of infrastructure in developing international locations by Devarajan et al. indicated that infrastructure really had unfavorable impacts on economic progress if infrastructure is over-supplied relative to the financial scale. The empirical analysis of 210 transportation infrastructure projects accomplished between 1969 and 1998 around the globe by Flyvbjerg additionally confirmed the issue of an over-estimation of demand for infrastructure. The financial recessions in Southeast Asia in 1997, in Singapore in 1985 and in Trinidad and Tobago around the identical time (Lewis, 1984; Ganesan, 2000) have been brought on by excessive provide of building outputs. The pressures generated by the enlargement of the construction trade might push up the prices of inputs , affect the supply of financial capital for different uses, and intensify environmental stress. As a outcome, the over-expansion of construction activities could affect macroeconomic stability by producing inflationary pressures, and misallocating as nicely as wasting assets.