The History and Economics of Diamond Rings

What year did the first diamond engagement ring appear in history?

• 1938

• 1902

• 1867

• 1477

What significant event in 1867 changed the diamond industry?

• Formation of De Beers

• Discovery of diamonds in South Africa

• Discovery of diamonds in India

• Introduction of diamond engagement rings

Who was the English businessman that played a key role in monopolizing the diamond industry?

• Cecil Rhodes

• Ernest Oppenheimer

• Henry Oppenheimer

• Arch Duke Maximilian

What strategy did De Beers use to maintain diamond prices?

• Selling directly to consumers

• Stockpiling diamonds to create artificial scarcity

• Increasing diamond production

• Lowering diamond prices

How did Ernest Oppenheimer strengthen De Beers' control over the diamond market?

• By setting up companies to regulate stock and pricing

• By reducing diamond prices

• By increasing diamond production

• By selling diamonds directly to consumers

What was the main goal of De Beers' advertising campaign in the United States?

• To promote diamonds as a symbol of wealth

• To associate diamonds with love and marriage

• To sell diamonds directly to consumers

• To reduce the price of diamonds

What was the famous slogan introduced by De Beers in 1947?

• Diamonds are rare

• A diamond is forever

• Diamonds equal love

• Diamonds are a girl's best friend

Which country became the second largest consumer of diamond rings after the US due to De Beers' campaign?

• Japan

• Brazil

• Germany

• Australia

What challenge did De Beers face in maintaining its monopoly in the late 20th century?

• Decline in diamond demand

• Government regulations

• Increased diamond production in South Africa

• Discovery of new diamond deposits in Russia and Australia

Why are diamonds perceived as valuable despite their abundance?

• Because they are indestructible

• Due to government regulations

• Due to successful marketing strategies

• Because they are rare