EN
This paper presents the results of econometric analysis of business activity of the construction industry in Poland in the period 1996-2001. Time series used to estimate the models were taken from the database of the business survey, both for private and public construction firms. Linear regression models describe the factors and tendencies of declining business activity of the construction firms. Switching Markov Models with a discrete regime variable shows the worsening of the construction firms’ evaluation of both recent and expected situation in the construction industry and of the generał economic situation.