Final answer:
Silver is the precious commodity that led to increased inflation in Spain and China during the colonial era. Mined extensively in Latin America by the Spanish, the flood of silver into European markets sparked the Price Revolution, affecting the economies of European countries. The correct answer is b.
Step-by-step explanation:
The precious commodity that caused an increase in inflation during colonialism when its amounts increased in Spain and China was silver. The Spanish mined vast quantities of silver in Latin America, specifically in places like Potosí. This influx of silver, and to a lesser extent gold, into the European markets led to the Price Revolution, which saw a rapid increase in prices and inflation levels in Spain that then spread to the rest of Europe.
While significant inflation hit Spain and later Europe in the sixteenth century, it is important to note that price increases were evident even before silver imports reached their peak between 1580 and 1620. In particular, Phillip II of Spain's payment of army wages and foreign debts in New World silver had a ripple effect on the economies throughout Europe. Additionally, economic practices like mercantilism and an increased focus on capitalism due to the influx of precious metals further contributed to economic shifts during this period.