一般来说，人们似乎都知道通货膨胀在经济中往往不是一件好事。这是有道理的，在某种程度上 – 通货膨胀是指价格上涨，而价格上涨通常被认为是一件坏事。然而，从技术上讲，如果不同商品和服务的价格一致上涨，如果工资随着价格上涨而上涨，并且如果名义利率根据通货膨胀的变化而调整，那么总价格水平的上涨就不一定特别成问题。 （换句话说，通胀不一定会降低消费者的实际购买力。）虽然公司是直接招致菜单成本的公司，但鞋类皮革成本直接影响所有货币持有者。当存在通货膨胀时，持有现金（或在无息存款账户中持有资产）存在实际成本，因为现金不会像今天那样购买尽可能多的现金。因此，公民有动力尽可能少地保留现金，这意味着他们必须经常去ATM或以其他方式转账。术语鞋类皮革成本是指由于到银行的次数增加而更频繁地更换鞋子的比喻成本，但是鞋类皮革成本是非常真实的现象。然而，从经济角度来看，通货膨胀成本是相关的，并且不容易避免。在通货膨胀相对较低的经济体中，Shoeleather成本并不是一个严重的问题，但它们在经历恶性通货膨胀的经济体中变得非常重要。在这些情况下，公民通常更愿意将其资产保留为外国货币而非本地货币，这也消耗了不必要的时间和精力。当价格在很长一段时间内保持不变时，企业可以从中获益，因为他们不需要担心改变产量的价格。另一方面，当价格随时间变化时，企业最好还是要改变价格以跟上价格的总体趋势，因为这将是利润最大化的策略。不幸的是，改变价格通常不是无成本的，因为改变价格需要打印新菜单，重新贴标签等等。这些成本被称为，并且公司必须决定是否以不利润最大化的价格运营或者产生价格变化所涉及的菜单成本。无论哪种方式，公司都承担着非常实际的通货膨胀成本。当通货膨胀发生并且不同商品和服务的价格以不同的速率上涨时，某些商品和服务在相对意义上变得更便宜或更昂贵。反过来，这些相对价格扭曲会影响对不同商品和服务的资源分配，如果相对价格保持稳定则不会发生这种情况。
In general, people seem to know that inflation is often not a good thing in an economy. This makes sense, to some degree- inflation refers to rising prices, and rising prices are typically viewed as a bad thing. Technically speaking, however, increases in the aggregate price level need not be particularly problematic if prices of different goods and services rise uniformly, if wages rise in tandem with the price increases, and if nominal interest rates adjust in response to changes in inflation. (In other words, inflation need not reduce the real purchasing power of consumers.)
Whereas firms are the ones who directly incur menu costs, shoe leather costs directly impact all holders of currency. When inflation is present, there is a real cost to holding cash (or holding assets in non-interest bearing deposit accounts), since the cash won’t buy as much tomorrow as it could today. Therefore, citizens have an incentive to keep as little cash on hand as possible, which means that they have to go to the ATM or otherwise transfer money on a very frequent basis. The term shoe leather costs refer to the figurative cost of replacing shoes more often due to the increase in the number of trips to the bank, but shoe leather costs are a very real phenomenon. There are, however, costs of inflation that are relevant from an economic perspective and cannot be easily avoided. Shoeleather costs are not a serious issue in economies with relatively low inflation, but they become very relevant in economies that experience hyperinflation. In these situations, citizens generally prefer to keep their assets as foreign rather than local currency, which also consumes unnecessary time and effort. When prices are constant over long periods of time, firms benefit in that they don’t need to worry about changing the prices for their output. When prices change over time, on the other hand, firms would ideally like to change their prices in order to keep pace with the general trends in prices, since this would be the profit-maximizing strategy. Unfortunately, changing prices is generally not costless, since changing prices requires printing new menus, relabeling items, and so on. These costs are referred to as, and firms have to decide whether to operate at a price that is not profit-maximizing or incur the menu costs involved in changing prices. Either way, firms bear a very real cost of inflation. When inflation occurs and prices of different goods and services rise at different rates, some goods and services become cheaper or more expensive in a relative sense. These relative price distortions, in turn, affect the allocation of resources toward different goods and services in a way that would not happen if relative prices remained stable.