The discovery of gold increased the price of nearly everything necessary for living because of its impact on supply and demand. As the demand for gold increased and the supply did not meet it, the price of gold went up, which in turn affected the price of other goods and services.
Step-by-step explanation:
The discovery of gold led to an increase in the price of nearly everything necessary for living because it affected the supply and demand of gold. When gold was discovered, thousands of people flocked to the area in search of riches, leading to an increase in the demand for gold. As the demand for gold increased and the supply did not meet it, the price of gold went up. This increase in the price of gold had a ripple effect on the price of other goods and services because gold was commonly used as a form of currency and as a basis for determining the value of other goods.