How do diamonds (natural and high quality lab created) stay valuable when there are so many in circulation from things like estate sales, heirlooms, new for sale diamonds, etc? I wonder this about diamonds specifically because they are difficult to destroy or compromise but are ubiquitous.
In: Economics
Diamonds stay valuable because the Debeers company stockpiles them and keeps an artificial scarcity on them at a global scale. Inherited diamonds do not lower value much because of population growth. This means that there are more people in “need” of diamonds every generation than those that become available due to older generations dying.
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