(a)[3]
Compare the price behaviour of the three diamond sizes from July 2004 to December 2008.
(b)[4]
Explain two possible factors influencing the demand for diamonds.
(c)[4]
Show, with the aid of a diagram, how introducing the 5% luxury tax would have changed the supply of diamonds.
(d)[3]
Using an example from the data, explain what external cost means.
(e)[6]
Discuss how effectively diamonds might function as money if people lose confidence in paper currency.