CARAT
Carat is a unit of measure used for diamonds and is one of the most misunderstood terms. The term carat refers to the weight of the diamond rather than the visual “size” as most people think. When comparing diamonds you will want to consider the cut as well, as diamonds cut too deep or too shallow may look bigger or smaller than similar carat weight diamonds with a very good or excellent cut.
Carat weight has a large impact on the price of the diamond but is not always the most important, as the cut, color, and clarity must be considered as well. Diamond pricing is also based on carat weight as the higher the carat weight of a diamond, the more rare it is considered, therefore causing the price to be higher. Diamond pricing based on weight is not linear but rather it is exponential as the carat weight increases. For example, the price of two diamonds together that are 1/2 carat each is not the same price as one diamond that is 1 carat.
Although the carat weight of a diamond does not represent the actual dimensions of the diamond, there is a generally accepted diamond weight to millimeter dimension chart. For example, a 6.5mm diamond is approximately 1 carat.here.