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indeed they have infinite cash,
Not a bug, just how they dumbed down the system from morrowind. Luckily Bethesda reverted back for their later games.
Especially potions from leveling up alchemy are a true PIA and difficult to sell.
So it was skipping several days unti the vendor had restocked. And that several times until everything had been sold. That is only stretching the game time without actually making the game more challenging.
Avoided that problem by packing the vendor full with money via console, never needed to do that in Oblivion.
As an aside, the amount of cash most Vendors have is based on their mercantile skill and so you can tell by how much they have, how good they are too sell too as the price you can things for considers the merchant's skill as part of the formula/ This means lower septim vendors are better for selling cheaper items too and for buying items from as they are less capable of "haggling" than their more expensive counterparts.
Now what would be ludicrous is that a weapons vendor is out of cash the moment you sell them one Ebony short sword... thus I do believe Oblivion did vendors the correct way. That all said the Mercantile skill itself is terrible and should be replaced, Personality could easily have fulfilled the same function for determining prices and would have meant Personality wasn't entirely a bottom tier attribute, worse than Luck.