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[bob ford <bobford79 AT yahoo.com>]

This is from a scholar in Austrian Economics.  There is a link to a long one 
page article..........

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Excerpts:

"The popular definition cannot explain why inflation is bad"

"If inflation is just a general rise in prices, then why is it regarded as 
bad news? What kind of damage does it do? Mainstream economists maintain that 
inflation, which they label as general price increases, causes speculative 
buying, which generates waste. Inflation, it is maintained, also erodes the 
real incomes of pensioners and low-income earners and causes a misallocation 
of resources."......................

".........However, if we accept that inflation is an increase in the money 
supply, and not a rise in prices, all these assertions can be easily 
explained. It is not the symptoms of a disease but rather the disease itself 
that causes the physical damage. Likewise, it is not a general rise in prices 
but increases in the money supply that inflict the physical damage on wealth 
generators. ......"

".......accurately measure inflation is an exercise in futility. Inflation is 
not about a general increase in prices; it is about increases in the money 
supply. Hence, whatever the improved index would measure has nothing to do 
with true inflation, which is always increases in the money supply. 
Consequently, to find out the status of inflation, there is no need for 
various sophisticated price indices; all that is required is to pay attention 
to the money supply's rate of growth. "

http://mises.org/story/908