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From Wired:

In the current issue of Forensic Science International, the team led by James F. Carter and Richard Sleeman concluded that there is no meaningful relationship between where a bill came from and the type or amount of drug residue is on it.

As a basis of comparison, they added a clever trick to their test.

On each trip to the bank, one of the researchers would note the arm on which he was wearing his wristwatch. The statistics showed that the arm he wore his watch on had as much of a bearing on the pattern of drug residue as where the bills came from.

The scientists rationalized that since bills are circulated quickly, their geographic origin is totally unrelated to how contaminated they are. Thus, if someone gets caught with a stash of drug money, they can no longer blame the above-average levels of residue on the hood where they got it.
 
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