Production builds wealth.
So the Soviet Union must have been producing massive amounts of wealth under the five year plans, eh?
Who cares if anyone actually wants a 5lbs nail, Stalin says make 100,000 tons of nails, and this is the quickest way...
Production in and of itself doesn't guarantee wealth because there is no guarantee people want what you're producing. If they don't, you're actually destroying wealth by committing resources to less desired uses.
Inflation punishes saves, and thereby encourages higher consumption, which reduces wealth (which is simply desired, but unconsumed, production).
If you think production will increase if prices across the board are guaranteed to drop 3% a year, every year, you're confused.
Computer prices dropped faster than that, yet production, contrary to your understanding, increased every year. It seems the world as it stands doesn't fit your understanding. Check your premises.