The "value" is like anything else. It is "worth" only what someone is willing to pay for it.

You see it all the time in this forum: I found a '83 Whizbang w/ two magazines. What is it worth? Again, it is worth what someone will pay for it.

To silver- The run up has been both astronomical and a bubble. No dealer wants to be holding thousands of ounces of silver at $45 because he/she knows it is a bubble and it will pop as all bubbles do. So it might be "worth" less than spot price to him and I don't blame him.

Sterling silver is something like the numismatic value of coins to which someone referred earlier. The problem is that grandma's silver might be a run of the mill pattern that does not demand a premium. Here, again, the dealer does not want to be stuck w/ thousands of pieces of run of the mill silver at $45/ounce.

Silver rounds (usually 1 ounce coins) follow the same pattern. The usually sell for 5% over spot and will be bought back for about 5% under spot price. (For you gold/silver bugs, you're starting down 10% + sales tax right out of the gate) Here, again, the dealer does not want to be caught w/ 1000's of ounces of silver at $45.

Sorry, but the short version is still that it is worth what someone will pay for it.

__________________
... a little behind in my work