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Re:Startup claims to have created first test tube meatball by ziszis on Wednesday February 03, 2016 @09:32AM (#11026591)
With diamonds, unless you are a professional and are looking through a magnifying device, you cannot tell the difference. If anything, the synthetic looks clearer and better. I have done the test myself.

If you can't tell the difference, how does it impact signaling value? If you are optimizing for signaling value, synthetics are better since you can afford a larger and clearer one.

Re:Startup claims to have created first test tube meatball by leereeves on Wednesday February 03, 2016 @09:50AM (#11026694)
The signaling value comes from the cost of the diamond. "Wasting" a lot of money on something so impractical proves you have wealth to waste, and spending a lot of money on a gift to a loved one proves that person is valuable to you.

Pay less for a synthetic and admit it, and you've signaled a lack of sufficient wealth to buy a real diamond.

Pretend a synthetic diamond is real and you're deceiving people.

Either way the synthetic diamond is signalling something undesirable (to the target market for diamonds) precisely because it costs less.