You don’t seem to understand what Marx had in mind with Labor Theory of Value. It’s as if you saw the word “value” in the term and erroneously interpreted it as “value” as determined in a capitalist/free market economy. In other words you’ve taken the term out of context, failed to understand what Marx had in mind, then criticized Marx for failing to have accounted for how value is determined in a capitalist/free market economy.
Try taking a step back, or two, and first get a reasonably solid understanding where Labor Theory of Value fits within Marx’s theories.
Nothing in your comment responded to my OP: instead of telling me I am wrong, tell me why I am wrong by citing what Marx meant and how I misunderstood him.
My statement about the supply of silver was based on a paragraph in a book on North American geology. I’d have to dig it up. However, all the silver that has been mined so far adds up to a cube 423 meters on a side. All the gold that has been mined adds up to a cube 23 meters on a side. So definitely: more silver than gold. Google says there are a couple billion tons of silver in the earth. Quite a bit of silver is apparently mixed in with other minerals like copper formed in the same way: by hot water percolating into the mantle, dissolving minerals, and then depositing the minerals along cracks in the ocean plates. In the fullness of time, some parts of the ocean plates are uplifted and form mountains, rather than being subducted and reappearing as volcanic material. The veins of gold, silver, copper, that are mined are the cracks in the sea floor where the stuff was deposited. Iron deposits were formed in a much different process.
On the value of Legos or other manufactured stuff: A rule of thumb is that a cost of making a manufactured product (like a television, lawn mower, stepladder, whatever) is about 10% of the retail price. A standardized Lego brick might cost less than 10% of retail, and the custom bricks that go into kits might cost the usual 10%. Where does 90% go? Profit for the manufacturers, the packaging, distribution, transportation, warehousing, the stores, waste, and so on. In the case of products which pass through many hands before ending up in yours, many businesses are profiting. How many small operations make small parts (and profits) for smart phones? Many. So, when you buy the phone, its hefty price pays a lot of people.
Pig iron sells for between $340 to $530 per metric ton, and is mostly used as feed stock for steel and other metals. These days it starts as low grade ore in Northern Minnesota. It gets crushed into powder, the metal bits are extrated and mixed with clay (or something) and the pellets are baked in a furnace to produce taconite. Taconite is what gets shipped on the Great Lakes to the steel mills to make pig iron. So figure $53 to dig up ore, reduce it to a ton of much higher grade Taconite, and ship it to Gary, Indiana.