Statement–Assumption — “World gold production has continued to grow irrespective of the price hike.” Assumptions: I) The quantity of gold produced does not affect its market price. II) When prices rise, production ought to be reduced. Choose the implicit assumption(s).

Introduction / Context:
The statement is a descriptive observation about production behaviour relative to price. It does not prescribe what should happen nor assert the causal relation between quantity and price.

Given Data / Assumptions:

• Production has increased even as prices rose.
• No mechanism or policy recommendation is stated.

Concept / Approach:
Assumption I makes a strong claim about price formation that is not required for the observation. Assumption II is a normative belief (“should be reduced”) not necessary to state the empirical fact.

Step-by-Step Solution:

Verification / Alternative check:
Producers often expand output when prices are high, contradicting II; price is influenced by many factors beyond current quantity, undermining I as a necessary assumption.

Why Other Options Are Wrong:
Any option claiming I or II adds content not implied by the statement.

Common Pitfalls:
Projecting market theories onto a bare observation.

Final Answer:
Neither I nor II is implicit.