Just tried this. Felt somewhat foolish as there is absolutely no logical reason for this to work and...as I assumed, it did nothing. I can't imagine that it would except for the wildest of coincidences.
All logic aside, the simple fact that
if contact is being made where it shouldn't be, either because of mis-centered SIM cards, mis-seated SIM trays, bent "teeth" as someone called them, etc, then it's going to cause some problems.
One question: are you having problems with your iPhone 4 with reception/etc? If not, then why bother with this at all?

You posting implies you have an iPhone 4 that's having some issues and you made this attempt to resolve it since it's a potential "fix" for some but not all. So, are you having problems with your iPhone 4, if you have one?
One person tried it, apparently had positive favorable results and posted about it - the OP - and others have done the same thing(s) and had similar favorable results too. Some don't, of course, like me but the point holds that if some folks are noting improvement to any degree
then there could be something to this.
We don't precisely know what that "something" could be but, hey, we're all basically doing beta testing and troubleshooting for Apple right now anyway, just as I'm quite certain they are in Cupertino.
Can't hurt to simply reseat a SIM, can it? The tape thing I'm leery off, or painting the SIM tray with any non-conductive materials of any kind, but if others care to go at it, more power to 'em and best of luck.
If everyone that had an iPhone 4 problem simply returned it, nothing would get done in reality. Apple would keep selling them, people would return them and get others or dump Apple outright, and nothing would really happen.
It's not really about getting it fixed - which is a big thing itself - but for me it's about Apple saying something, admitting something, just flat out boning up to it like someone should and stop being so damned deceptive and do everything by implication or ridiculously terse emails no one can decipher for true meaning.
"It's broken, we know it, we're sorry, we'll fix it."
Can't be that tough, can it?