# Why do increase in firms profit margins cause cost push inflation?

I read somewhere that this was the case. I get what profit margins and cost-push inflation are, but don't see how increase in marginal profit causes cost-push inflation? Also, how does increase in money supply cause cost-push inflation? Many thanks.

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you can think on prices like p = (1+m)w, which means that prices are the value os inputs (w) multiplied by the margin (1+m) of the firms. So it is clear that raising firms margin woud increase prices. This is cost-push inflation because the margin are part of the firm´s costs, it is a payment to a factor, like capital or entrepreneurship.