Final answer:
The cost of gold can have an effect on the prices you pay for things. When the cost of gold increases, it can lead to an increase in prices for goods and services.
Step-by-step explanation:
The cost of gold can have an effect on the prices you pay for things. When the cost of gold increases, it can lead to an increase in prices for goods and services. This is because gold is used in various industries, such as jewelry and electronics, and the increase in its cost can impact the production and manufacturing costs for these items, which are then passed on to consumers.
For example, if the cost of gold increases, the cost of manufacturing gold jewelry will also increase, leading to higher prices for consumers who want to purchase gold jewelry. Similarly, if the cost of gold used in electronics increases, it can lead to higher prices for electronic devices that use gold components.
Therefore, the correct answer to your question is c. Prices will increase with higher gold costs. It's important to note that while the cost of gold can impact the prices of various items, it may not have a direct impact on all products or services. The extent of the price impact will also depend on factors such as consumer demand and competition.