"Steem .. will achieve an instantaneous annual rate of approximately 12% after just 1 year" How?

@steem @dan
While the Whitepaper mentions self-regulating/dynamic interest rates,
the minting of new Tokens is presented through static numbers,
with no indication of change over time! (I'm refering to the 100% additional Tokens/year - 90% in Steem Power and 10% for authors and miners - also called "100% APR long term inflation rate" and the 10:1 split every 3 years)

The only clue about possible change over time is given through:

"According to the tool for estimating future inflation included with the Steem source code,
Steem by contrast will achieve an instantaneous annual rate of approximately 12% after just 1
year (not including the effects of SMD operations)."

Yet this remains vague (What is the source? https://github.com/steemit/steem/search?utf8=%E2%9C%93&q=inflation ?)

Why dont you explain how exactly reward and inflation may - or may not - change over time?
( - and earlier in the Whitepaper just along with mentioning those static/current numbers)

Thanks