Final answer:
A one carat diamond can be worth more than a two carat diamond if it has significantly higher quality in terms of cut, color, clarity, and overall brilliance.
Step-by-step explanation:
A one (1) carat diamond can be worth more than a two (2) carat diamond if several factors, including quality and the 4Cs (Carat, Cut, Color, Clarity), indicate that the one carat diamond is of significantly higher quality. A diamond's value is determined not just by its weight but also by how brilliantly it is cut, its color grade, and clarity. For example, a smaller diamond with an exceptional cut, colorless grade, and flawless clarity could be valued higher than a larger diamond with a poor cut, visible color, and obvious inclusions. Additionally, the rarity of certain characteristics, such as a specific color or clarity, can amplify a diamond's value regardless of its size.
It's important to note that while size does matter, it's the overall quality that determines a diamond's worth. In the context of the given reference, if a one carat diamond exhibits exceptionally desirable traits that outshine those of a two carat diamond, it would indeed be more valuable. The market dynamics described in the reference also highlight that extreme sizes, like a gigantic single diamond, can disrupt market value and practical utility.