From Tulips to Diamonds – Rarity

(ehudlaniado.com) - How rare were tulip bulbs in the 1630s? Were there ways to reproduce them quickly? Or were they, perhaps, difficult to grow? These are questions for historians. What I do know is that diamonds are rare. It is important to know that diamonds are rare. Rarity creates value. That is an old economic adage. A collection of antique cars is valuable because of its rarity. Art likewise fetches higher prices because of rarity. After an artist dies, the value of their works tend to rise. That is the economy of rarity in action. Diamonds are rare as well. About 82 percent of the world's diamond production is from just five countries. They are Russia, Botswana, Democratic Republic of the Congo, Australia, and Canada. Together, they exported 104 million carats in 2015, according to the Kimberley Process.