What Happens with Massive Counterfeit Silver?

[Recyclersteve]

I just want to throw this out there for the heck of it. What would happen if all of a sudden we realized that some huge amount of all the silver in coin shops everywhere (something like 50%) was counterfeit. I'm not saying the real number is anywhere close to that. But what if it was something like 50%?

For one thing, there would likely be lots of coin dealers who'd go out of business. Secondly, there would likely be a lot more people buying counterfeit detection devices of all types. Quarters and halves everywhere may get the proverbial drop test on a tabletop (from about 3"-4" above the surface) to listen for that familiar silver ring.

If this happened several decades ago, there would have been lots of counterfeit silverware. That would be a strange thing to see.

Unfortunately, one of the negative side affects would be that there would be a lot more people who'd be afraid to buy silver, because they'd be worried they'd get stuck with counterfeits.

How would this affect things like solar panels and computer keyboards if they were made with counterfeit silver? I guess that the gifts people give for their silver (25th) wedding anniversaries would get quite a bit cheaper! I wonder how jewelers would be affected.

What else would happen?

[68Camaro]

Really? - you stretch this too far. The second thing to happen (after people freaked out for a day or two) is that people would learn to detect counterfeit silver. That's it. If they needed a device to do it they would get one, or they would only buy from someone that had one and would guarantee their product.

Counterfeit are out there now. They always have been, even when coinage was PM. There will be some damage and some loss, but people and businesses will learn.

As far as industry, a) manufacturers buy assayed product, and b) you simply can't make the products that use silver out of non-silver - the processes just don't work, so it can't happen.

Not to fret...

[pennypicker]

Unfortunately, one of the negative side affects would be that there would be a lot more people who'd be afraid to buy silver, because they'd be worried they'd get stuck with counterfeits.

Interestingly enough the FBI after a long investigation concluded that roughly 75% of all sports autographs are forgeries yet people still pay big money for non-certified ones.

It is also estimated that an astounding 95% of Confederate Civil War artifacts in the marketplace are counterfeits as well yet people still pay big money for anything Confederate.

My point is that no matter how polluted a particular investment pool is, be it silver or whatever, people will still knowingly jump into it

[beauanderos]

We still spend dollars... and those have been counter-fiat ever since the Fed went crazy.

[reddirtcoins]

We still spend dollars... and those have been counter-fiat ever since the Fed went crazy.

+1
.....best answer lol