A key thing to note is that the definitions of inflation are bound up with the empty world "view." I've tried to diary about this a couple of times and never hit "post" because it's exceedingly hard to express because inflation is a circularly defined thing, but some of the oddities about inflation:

1. Overemphasis on wage inflation.
   
2. Failure to account for asset inflation.

definitely derive from an "empty world" set of assumptions.