Dive summary:

• While materials costs have been rising since the recovery began, the contracting professionals at Birmingham, Ala.-based Merrill Stewart think labor may prove to be a bigger factor in driving up project costs in the immediate future, founder and President Stewart Merrill says.
• Manufacturers may resist increasing supply because they are not sure the recovery is real, but continued demand will eventually wither force their hands or competitors will emerge.
• The shortage of quality trades-people, however, will take time to repair because so many workers left construction permanently during the recession.

From the article:

While our economy continues to move along, we are seeing pockets of great expansion. In other areas things are moving more slowly. In regards to the market cost, some of our customers have asked how we see things changing. ...