I'm not going to quote your post, but you asked how one would explain the rise in wealth over the 1800s. Consider that market dynamics were almost totally local, as imports were extremely expensive. As such, the economy was working with the local supply and demand. At this time, the US was largely untapped from a resource standpoint and most of the country (even before the louisiana purchase) was rural. Land was for the taking, at almost no cost apart from the effort required to claim it. Leaving resources aside for a moment, consider the cost of labor. During this period, slavery, child labor and indentured servitude kept labor costs low --- as low as they could possibly be, from an economic standpoint. Let's leave resources aside, now, for a moment. Consider the cost of finished goods. Finished goods were almost all imported at the start of the 19th century, and they were very costly. As real manufacturing took hold in the middle of the 19th century, the margin for US-based manufacturers selling domestically could be really large. Growing in size (and growing profits) could be easily done by simply scaling up. Pricing for these items stayed relatively high, not because production volume was restricted, but because distribution volume was constrained and distribution was slow and costly. This is not analogous in any way to how the US economy operates today.
As for your assertion that the creation of the fed was responsible for inflating the money supply, you appear to be conflating present-day economic relationships (vis a vis the fed) with conditions of a much simpler time. (Things got a lot more complex in the 80s.) The actual fact is that US currency was on a precious metals standard until the Nixon administration. What this means is that every dollar was backed by a given amount of silver or gold in the reserve. In these conditions, there can be no greater inflation of the money supply than there is an increase in the amount of metals in reserve, or a corresponding increase in the market price in those metals. Economically, this is very constraining, and makes the domestic money supply vulnerable to many factors outside its control. The fed's job in the early 20th century was to help set interest rates and manage the reserve as much as possible to keep the value of currency relatively stable. That was a much simpler job, in the early 1900s.
What you're asking for, in terms of price deflation, is exactly the goal of an ideal communist economy. Read up on the deflationary spiral, or "stagflation", and you'll understand it a little better.