*Loan,banking and credit>>>auto loan

Does applying for an auto loan hurt your credit, if you dont use the approved loan?

The effect of inquiries is not as strong as everyone believes. Unless you have applied with more than 6 creditor (excluding car dealerships) in the past 6 months, you're OK.

It can if you have too many people checking you credit. Lucky that is something you can easily explain.
I'm not quite sure what you're asking. You applied for a loan and were approved but you then decided not to take out the loan????

If that is the case, no, it wouldn't hurt your credit to not take out the loan.
everytime someone runs your credit, your score drops 2 points for a few weeks, I believe.
Yes, temporarily. Part of your credit score is based on how many recent inquiries have been made to check your credit worthiness.
Each time your credit is checked, it deducts a point or two (or even a few) from your credit score. It appears to the credit agencies that you're seeking loans, putting you into a deeper debt.