No no, you're overthinking it. You're applying economics 101, which has a lot of assumptions that don't hold true in reality. For example, wages don't increase with inflation. We've actively watched buying power decrease over the last 3 decades.
Here's the simpler model. If there's a hundred toys to buy in the world, and $100 in the world, one toy cost $1. If a bank know loans an extra $10, because they can due to reserve requirements, now there's $110 in the world and still a hundred toys. So now a toy costs $1.10.
And the reason it's a flat tax is because now every dollar worth ~.9 toys, and this punishes the poor who can now barely afford what they need to survive.
Economics classes only work because they wrap the ideas in lots of assumptions, like the concept that we have a functioning economy. It's like physics 101 with no friction on surfaces and no wind drag.
It's the "ohhhh... Poor baby.. I worked today too, but I'm less emotionally exhausted right now and you definitely deserve a pick-me-up blowjob after dinner tonight. I know you'll return the favor and pound my ass when you're feeling better and I'm down. We take care of each other. Now get in the sex swing and hold on tight."
Computer engineer. Software engineer. Train engineer. The qualifier is what let's you differentiate. Your claim is that the generic term only covers a subset of how people use the word.
You sound British. Nttawwt. But your weather is crazypants.