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Aerodynamics allows you to adjust downforce (the pressure the car exerts onto the track surface), thus increasing tyre grip, allowing you to take corners at higher speeds.
On the other hand, downforce also creates air resistance—and greater air resistance can lead to lower top speeds.
On tracks with long straights, reduce downforce in order to reduce air resistance, allowing for better top speeds (sacrificing cornering speed in the process). On tracks with lots of corners, increase downforce to increase cornering speed (sacrificing top speed in the process).
Downforce can be adjusted for the front and rear of the car independently, so it can also be used to tune steering characteristics. If downforce is strong in high speed sections, increase front downforce to place more load on the front wheels. If oversteering is a problem, increase rear downforce to improve stability.