Thursday, June 30, 2005

Diamonds - The Rich get Richer

Before anyone decides to spend an exorbinant amount of money on any sort of diamond ring/necklace/etc. consider the following:

- Gem quality diamonds cost $50 a carat to manufacture

- 3 billion carats of diamonds are mined annually

So why doesn't every woman on earth get a one carat diamond every year? The marketing/hording tactics of diamond manufacturers. Debeers was only granted direct access to US markets in the last few years because of their monopoly on the market. They have warehouses stockpiled with diamonds they won't release to keep the market diamond-starved. Their "Diamond is Forever" slogan is a marketing ploy to sap the industry of any liquidity. In addition to their questinable labor practices, the diamond industry is an over-valued joke.

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