Some costs associated with anticipated inflation are:
A) menu and shoe- leather costs.
B) opportunity and marginal costs.
C) outsourcing and a larger trade deficit.
D) transaction and settlement costs.

Question

Quizplus · Accepted Answer

Menu costs refer to the costs of changing prices, and shoe-leather costs refer to the increased cost of transactions due to people holding less cash. Both are associated with anticipated inflation.

Some Costs Associated with Anticipated Inflation Are