alt Hacker NewsThat can be the right call (and is the one I would make) but for situations like this, it may be as much about how you think about something yourself rather than how others view it. If spending more makes it mean something different to you, then that can be a primary function. That being said, blood diamonds are a huge problem, DeBeers is a cartel, and we’d be better off investing our money in other ways that serve a relationship, family, etc.
I'd counterpoint that if one can't make oneself feel good through something other than lighting cash on fire... one isn't thinking hard enough.
In the parent's example, I'd be surprised if anyone can't find another good or activity to also purchase for $25,000 that isn't meaningful.
And you still have a physically identical diamond.