Gold can inflate quite easily, and does all the time, independent of its scarcity. It's possible for the price of anything and everything to go up, on an absolute scale. And if that happens accross the board then you've effectively inflated even some hypothetical absolute currency.
Money has no value, it is in fact nothing more than tradeable debt. It has as much value as the market is willing to allow. To imagine this in an extreme case imagine if the entire worldwid economy collapsed and food bacame very much rarer. Now you'd expect to have to pay vastly more gold for food. Inflation.
My point is that no part of the economy is static, all of it is dynamic. All of it. The value of everything, labor, goods, food, even money is dynamically dictated by the action of the economy.
Money has no value, it is in fact nothing more than tradeable debt. It has as much value as the market is willing to allow. To imagine this in an extreme case imagine if the entire worldwid economy collapsed and food bacame very much rarer. Now you'd expect to have to pay vastly more gold for food. Inflation.
My point is that no part of the economy is static, all of it is dynamic. All of it. The value of everything, labor, goods, food, even money is dynamically dictated by the action of the economy.