Abstract

The automobile, which was invented for the purpose of carrying passengers and freight, with the increase in sales, it has become an indispensable part of daily life. However, due to various factors, automobile demand fluctuated throughout the periods. This study discusses rational and irrational dynamics affecting the demand for automobiles in Turkey and it aims to analyze the effect of macroeconomic variables on automobile demand by using ARDL approach. The findings show that the most important variables affecting the demand for automobiles in Turkey are unemployment, car prices and in short term is inflation.

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