Increase in gold price is due to the increase value of gold in the international market. Gold is a very good investment nowadays. As my opinion as an investment gold is a good choice. But what is the role of gold in the luxury life? Nothing, just for showing high status and unwanted luxuries.
Here is the problem affects mainly with those who belongs in middle class and below. "Dowry" the devil which still belongs in the society. As the gold price increases the parents of each girl may worry because of this. For rich people it is not a problem. Yesterday my brother says he went to a marriage, there the dowry or what it says(gift of parents to their daughter) was 501 "pavan"..
As amount of dowry shows the social status the middle class also have to give dowry for her daughter's marriage. Even the price of gold increases no change in the quantity of gold given by parents. Here the action should be taken by youth that they won't be give or take dowry.
Like i said above as an investment material gold is a good option.