As was pointed out at the beginning of the thread, there is the base currency inflation/deflation, and there is the inflation/deflation due to financial instruments (the M3, etc.). As bitcoins mature, protocol defined inflation will be under 1% within a couple decades, maybe poster above is correct that 1% are lost every year, but I suspect that the total inflation/deflation will swing in larger amounts up and down based on the financial instruments and credit built upon the bitcoin system, totally dwarfing the M1 change, which will be rather small.