Firms' supplier choices, technology investments and pricing decisions have economy-wide effects

The thesis consists of three studies in macroeconomics.

Easier supplier access boosts productivity but increases market concentration

In the first essay, Chek investigates how firms find suppliers of intermediate goods and how this affects the economy. The results suggest that easier access to suppliers, supported for example by improved digital infrastructure, can increase productivity by helping firms find better and cheaper inputs. At the same time, these gains tend to benefit the most productive firms the most, contributing to greater market concentration.

How automation is measured matters for the results

The second essay focuses on automation. Using detailed Swedish data, Chek shows that conclusions about automation's impact on workers depend heavily on how automation is defined. Studies that focus solely on industrial robots may miss important effects from other types of capital equipment and technologies. The findings highlight the importance of measuring automation carefully when assessing its labour market consequences.

Firms' pricing decisions help explain persistent inflation

The final essay examines why inflation often remains elevated even after the original shock has passed. Chek shows that inflation persistence can arise naturally because firms do not adjust prices immediately when economic conditions change. The study suggests that firms' price-setting behaviour plays an important role in explaining inflation dynamics.

Together, the three essays shed light on how firm-level decisions, from choosing suppliers and investing in technology to adjusting prices, can have significant effects on the wider economy.

Chek will defend his thesis “Input Market, Automation, and Inflation: Essays in Macroeconomics” on September 21.

Click here to read the thesis in full.

Click here for more information on the defense.