A commonly asked question is why diamonds are so valuable. Simply put it is the supply and demand. Diamonds are beautiful stones that last forever and can be passed down from generation to generation. People use these stones to symbolize certain aspects of their life. Diamonds take many many years to be formed, and that is without labor of the mining and cutting. Its main point to determine the value is how readily it is in demand.
Diamonds are the hardest natural element known to man. Diamonds can actually be used to cut another diamond. Based on the 4 C’s; cut, color, clarity, and carat will determine the price of the actual diamond. This tells you how much the diamond weighs, how close to colorless it is, how many imperfections there are, and how well it is cut.
Because the diamond lasts forever, and because it is used to symbolize such important occasions, part of the value of a diamond is sentimentality. In ancient times the Greeks thought they were pieces of fallen stars. Throughout time, diamonds have been worn by rulers, monarchs, and nobility to show a person’s wealth, status, and levels of power.
Its beauty alone makes it valuable. It is a beautiful stone. It reflects amazing light, and adds a glimmer to the wearer. That has value in and of itself. Ultimately, however, the monetary value of anything is determined by what a consumer is willing to pay. History has shown time and time again that we find diamonds very valuable.