Why Has ETH's Supply Increased Since the Merge?

The combined Ethereum overhauls in the last year were supposed to result in a reduction in ETH supply, so why has the opposite happened?

The Merge reduced ETH emissions by 89.4%, but validators are still being rewarded new ETH.

Transaction fees need to reach 16 gwei or higher in order for Ethereum’s fee burning mechanism to completely offset ETH issuance.

Ethereum’s token supply is still increasing despite the blockchain’s transition to Proof-of-Stake.

Without the shift to Proof-of-Stake, the supply would have increased by more than 20,994.04 ETH already—instead of merely 418.88 ETH.