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diff --git a/testsuite/tests/eyeball/inline2.hs b/testsuite/tests/eyeball/inline2.hs
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+{-# OPTIONS -fglasgow-exts -O -dshow-passes #-}
+
+module Foo where
+import GHC.Base
+
+foo :: Int -> Int
+foo (I# n#) = bar i i
+ where i# = n# +# 1#
+ i = I# i#
+
+bar :: Int -> Int -> Int
+{-# INLINE [0] bar #-}
+bar _ n = n
+
+{- The trouble here was
+
+ *** Simplify:
+ Result size = 25
+ Result size = 25
+ Result size = 25
+ Result size = 25
+ Result size = 25
+ *** Simplify:
+ Result size = 25
+ Result size = 25
+ Result size = 25
+ Result size = 25
+ Result size = 25
+
+
+ etc.
+
+The reason was this:
+ x = n# +# 1#
+ i = I# x
+
+Being an unboxed value, we were treating the argument context of x
+as intersting, and hence inlining x in the arg of I#. But then we just
+float it out again, giving an infinite loop.
+-}