This is the best proposal I've seen here in years.
By keeping small inflation STEEM holders pay for the privilege of liquidity, while SP holders get rewarded for staking.
The inflation for social incentives is then contained to each app/community, and they have to come up with innovative ways to balance it out (ie. ads, sales of goods etc.)
RE: Part 3 of Our Plan to Onboard the Masses: Smart Media Tokens