During periods of high inflation, stores that publish catalogs find it necessary to revise prices and publish new catalogs more frequently than before. This is an example of menu costs.

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Menu costs refer to the costs incurred by firms to adjust their prices due to inflation or other economic factors. In this case, stores publishing catalogs need to revise their prices more frequently, which incurs additional costs for printing and distributing new catalogs. This is an example of menu costs.

During Periods of High Inflation, Stores That Publish Catalogs Find