News ID : 4099
Publish Date : 05 August 2020 - 09:00
At a time when prices in the car market are fluctuating a lot and it is assumed that these price changes are due to the increase in the price of the dollar, automotive industry experts believe that the increase in the volume of rials and liquidity at the disposal of people to increase prices in the car market This trend will not be corrected except by increasing production.
Khodrocar - While increasing production and reducing market thirst are among the cases that are referred to as solutions to improve the market situation, some car industry activists believe that in the current situation with increasing production and supply of cars to the car market, calm to This market will not return and the idea that with the increase of production and supply to the car market, calm will return to the market is wrong, because this calm occurs only by stabilizing the exchange rate and controlling inflation expectations, and this issue should not be hidden.

There is a significant relationship between the price of currency and what is happening in the car market these days. A theory that experts in this field reject.

"Inflation in the economy is proportional to the amount of supply in commodity groups, and in such circumstances, and at any rate of inflation, if the supply of cars is sufficient, inflation and price growth will go from the car market to other markets.” Farbod Zaveh, expert of auto industry told khodrocar reporter.

"Therefore, although prices can’t be stabilized and price increases will be experienced, but the rate of price growth will depend on supply and demand. So how much food or car inflation is related to car supply.” He added.

"The price of currency is due to inflation and will not be the cause, because the cause of inflation is the increase in the volume of the rial, which increases the price of the dollar, housing and even cars.” He said.

"The reason for this is the increase in liquidity, because according to the Central Bank, in July this year, compared to the same period last year, the monetary base, ie net coins and public deposits, increased by 34%, which indicates that the money supply has increased. All goods are affected.” He said.

"In fact, commodities have not become more expensive, but the liquidity available to the people has become more valuable, and in this situation, the more production increases, the higher the cost price, the more it benefits the economy. But the dollar rate remained stable, so it is not just the dollar that affects these goods, but the dollar will act as a thermometer.” He mentioned.

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