Inflation a Problem When Higher Than Profits

Store buys supply for $100.

Sells supply for $106.

Inflation means new supply is $107.

Oops. 

Any time inflation exceeds profit margins, your supply lines are going to hiccup. At best the stores have to take out loans to replace the stock they allegedly sold at a profit, and those loans are going to cut further into profits... Next, you will get the traffic jam thing where waves overlap and build up until there's a clog. 

If inflation significantly exceeds profit margins over the stock turnover time, store shelves will be stripped bare. 

It would be less bad if they were honest about inflation, so it would be predictable. Stores could raise prices on existing stock rather than having to scramble. However, that would mean admitting inflation's purpose is to let the black government loot at will. It would also significantly reduce the Cantillon gradient, and we can't have that, now can we?