Fast-food wars heat up as McDonald's, Taco Bell and others roll out low-priced items

A new battle for low-priced eats is breaking out in the fast-food wars.

As McDonald’s Corp. prepared to roll out a new Dollar Menu on Thursday, Taco Bell countered by announcing Wednesday that it would sell a new item, Nacho Fries, for $1 starting Jan. 25.

Taco Bell, the Irvine-based unit of Yum...