Autos In The US Economic system (3)

March 27, 2017 | By admin | 0 Comments

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You’ll be able to see the rise in imports from much lower than 1% within the Nineteen Sixties to about 2% of US GDP in the mid 2000s (until the nice recession hit). The opposite attention-grabbing factor is that consumption of autos (as a fraction of the economic system) started a severe decline within the early 2000s. That’s going to complicate the analysis which I will take up once more in the next put up.

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Complicating your exercise much more is the fact that people are likely to preserve their vehicles longer nowadays than they used to. That is in large part as a result of high quality has gone up, decreasing the frequency needed to purchase a brand new car. I think this has far more to do with the declining share of GDP dedicated to auto purchases than any of the opposite elements you mentioned.