In the 19th century we thought of inflation as the change in ratio of money to goods. Inject more money in the economy without a commensurate increase in the amount of goods and you get inflation. Take money out of an economy and deflation occurs. Now we know this isn't really accurate. Inflation happens not when there is more money in the economy but when more money is competing for the same goods. If money just sits in a bank account (or virtual bank account in the case of Diablo III) it doesn't really affect the economy and no inflation occurs. There is the same economic activity but a few rows in a database somewhere contain larger numbers.
This is also why in the real world the fed can triple the size of the money supply without causing inflation. Of course the austrians predict, over and over again, that runaway inflation is going to happen Any Time Now. But it doesn't and it won't.
Of course in a completely healthy economy you would expect an increase in the money supply to lead to an increase in economic activity and inflation, because in a healthy economy people spend and invest the money they have.
Austrian economics is about digging gold up from the ground, then smelting it into ingots and then burying those ingots again in a vault somewhere. Only through this mystical process can you get Real Money. Otherwise the money is "fiat money". It's so silly.