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The Price of Diamonds Is High,in Part Because the Majority

question 16

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The price of diamonds is high,in part because the majority of the world's diamonds are controlled by a single firm.This is an example of


Definitions:

Households

Entities consisting of one or more people who live together and make joint decisions on consumption and other economic activities.

Firms

Business entities that produce goods or services, usually with the intention of selling them for a profit.

Opportunity Cost

The value of the best alternative forgone when a decision is made to use resources for a particular purpose.

Wage Increases

An upward adjustment in the amount of compensation employees receive for their work, often in response to inflation, productivity, or market demand.

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