Beyond Apples-to-Apples: A Cross-Category Explanation of the Alchian–Allen Effect

Beyond Apples-to-Apples: A Cross-Category Explanation of the Alchian–Allen Effect | Research Square window.SnipcartSettings = { analytics: { enabled: false } }; (function() { var accessVector = localStorage.getItem('access_vector') || ''; window.dataLayer = window.dataLayer || []; if (accessVector) { window.dataLayer.push({ user: { profile: { profileInfo: { snid: accessVector } } } }); } })(); (function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src='https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);})(window,document,'script','dataLayer','GTM-K279D39R'); Browse Preprints In Review Journals COVID-19 Preprints AJE Video Bytes Research Tools Research Promotion AJE Professional Editing AJE Rubriq About Preprint Platform In Review Editorial Policies Our Team Advisory Board Help Center Sign In Submit a Preprint Cite Share Download PDF Research Article Beyond Apples-to-Apples: A Cross-Category Explanation of the Alchian–Allen Effect Jian Ding, Yixiao Zhou This is a preprint; it has not been peer reviewed by a journal. https://doi.org/ 10.21203/rs.3.rs-9331302/v1 This work is licensed under a CC BY 4.0 License Status: Under Review Version 1 posted 4 You are reading this latest preprint version Abstract This paper develops a unified framework that extends the Alchian–Allen mechanism beyond the restrictive assumption of close substitutes. The framework emphasizes a fixed-cost selection mechanism in which logistics structures filter goods according to their ability to sustain profitable long-distance exchange. Empirical analysis uses high-dimensional U.S. import data from 2023 to 2025. The main quantitative evidence is presented at the HS2 level, consistent with the cross-category logic of the paper, while HS10 specifications and stricter sample definitions are used as robustness checks. The results yield two main findings. First, more distant trade flows exhibit significantly higher observed unit values at the HS2 level, indicating that the good-apples-shipped-out pattern operates not only within narrowly defined products but also across broad product categories. Second, the positive distance–unit-value relationship is stronger for observations involving air transport, especially in broader samples, consistent with the view that higher-cost transport channels impose a stricter selection filter. Overall, the findings support a cross-category interpretation of the Alchian–Allen mechanism and suggest that lower logistics and institutional fixed costs can broaden participation in long-distance trade. JEL Classifications: F10, F11, F14, D22, R40. Full Text Supplementary Files Appendix3.docx Cite Share Download PDF Status: Under Review Version 1 posted Reviewers agreed at journal 13 Apr, 2026 Reviewers invited by journal 13 Apr, 2026 Editor assigned by journal 08 Apr, 2026 First submitted to journal 06 Apr, 2026 You are reading this latest preprint version Research Square lets you share your work early, gain feedback from the community, and start making changes to your manuscript prior to peer review in a journal. As a division of Research Square Company, we’re committed to making research communication faster, fairer, and more useful. We do this by developing innovative software and high quality services for the global research community. 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Also discoverable on Platform About Our Team In Review Editorial Policies Advisory Board Help Center Resources Author Services Accessibility API Access RSS feed Manage Cookie Preferences © Research Square 2026 | ISSN 2693-5015 (online) Privacy Policy Terms of Service Do Not Sell My Personal Information {"props":{"pageProps":{"initialData":{"identity":"rs-9331302","acceptedTermsAndConditions":true,"allowDirectSubmit":false,"archivedVersions":[],"articleType":"Research Article","associatedPublications":[],"authors":[{"id":622405330,"identity":"d076cb4d-de9f-475e-9341-fe3f96737118","order_by":0,"name":"Jian Ding","email":"data:image/png;base64,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","orcid":"https://orcid.org/0000-0001-6959-9777","institution":"Zhejiang Guangsha Vocational and Technology University of Construction","correspondingAuthor":true,"prefix":"","firstName":"Jian","middleName":"","lastName":"Ding","suffix":""},{"id":622405331,"identity":"4c3286de-d045-42c2-94ef-f793eb91c144","order_by":1,"name":"Yixiao Zhou","email":"","orcid":"","institution":"Australian National University Crawford School of Public Policy","correspondingAuthor":false,"prefix":"","firstName":"Yixiao","middleName":"","lastName":"Zhou","suffix":""}],"badges":[],"createdAt":"2026-04-06 07:58:10","currentVersionCode":1,"declarations":"","doi":"10.21203/rs.3.rs-9331302/v1","doiUrl":"https://doi.org/10.21203/rs.3.rs-9331302/v1","draftVersion":[],"editorialEvents":[],"editorialNote":"","failedWorkflow":false,"files":[{"id":107706559,"identity":"2e40c1be-2ebd-4d1f-b4e8-9a1f78dbf3dd","added_by":"auto","created_at":"2026-04-24 09:18:21","extension":"pdf","order_by":1,"title":"","display":"","copyAsset":false,"role":"manuscript-pdf","size":503975,"visible":true,"origin":"","legend":"","description":"","filename":"GOODAPPLESHIPPINGOUT.pdf","url":"https://assets-eu.researchsquare.com/files/rs-9331302/v1_covered_7d0f5a79-7948-4cfb-b170-7d6906bc0bf9.pdf"},{"id":107577412,"identity":"7a9738cf-7fc1-46d7-a1bb-fdfaa43adfc6","added_by":"auto","created_at":"2026-04-22 20:54:55","extension":"docx","order_by":4,"title":"","display":"","copyAsset":false,"role":"supplement","size":75140,"visible":true,"origin":"","legend":"","description":"","filename":"Appendix3.docx","url":"https://assets-eu.researchsquare.com/files/rs-9331302/v1/a461a00d36e6f1ad7eeef333.docx"}],"financialInterests":"","formattedTitle":"Beyond Apples-to-Apples: A Cross-Category Explanation of the Alchian–Allen Effect","fulltext":[],"fulltextSource":"","fullText":"","funders":[],"hasAdminPriorityOnWorkflow":false,"hasManuscriptDocX":false,"hasOptedInToPreprint":true,"hasPassedJournalQc":"","hasAnyPriority":false,"hideJournal":false,"highlight":"","institution":"","isAcceptedByJournal":false,"isAuthorSuppliedPdf":true,"isDeskRejected":"","isHiddenFromSearch":false,"isInQc":false,"isInWorkflow":false,"isPdf":true,"isPdfUpToDate":true,"isWithdrawnOrRetracted":false,"journal":{"display":true,"email":"[email protected]","identity":"review-of-world-economics","isNatureJournal":false,"hasQc":true,"allowDirectSubmit":false,"externalIdentity":"rowe","sideBox":"Learn more about [Review of World Economics](http://link.springer.com/journal/10290)","snPcode":"10290","submissionUrl":"https://www.editorialmanager.com/rowe/default2.aspx","title":"Review of World Economics","twitterHandle":"","acdcEnabled":true,"dfaEnabled":true,"editorialSystem":"em","reportingPortfolio":"Springer Hybrid","inReviewEnabled":true,"inReviewRevisionsEnabled":false},"keywords":"","lastPublishedDoi":"10.21203/rs.3.rs-9331302/v1","lastPublishedDoiUrl":"https://doi.org/10.21203/rs.3.rs-9331302/v1","license":{"name":"CC BY 4.0","url":"https://creativecommons.org/licenses/by/4.0/"},"manuscriptAbstract":"\u003cp\u003eThis paper develops a unified framework that extends the Alchian–Allen mechanism beyond the restrictive assumption of close substitutes. The framework emphasizes a fixed-cost selection mechanism in which logistics structures filter goods according to their ability to sustain profitable long-distance exchange. Empirical analysis uses high-dimensional U.S. import data from 2023 to 2025. The main quantitative evidence is presented at the HS2 level, consistent with the cross-category logic of the paper, while HS10 specifications and stricter sample definitions are used as robustness checks. The results yield two main findings. First, more distant trade flows exhibit significantly higher observed unit values at the HS2 level, indicating that the good-apples-shipped-out pattern operates not only within narrowly defined products but also across broad product categories. Second, the positive distance–unit-value relationship is stronger for observations involving air transport, especially in broader samples, consistent with the view that higher-cost transport channels impose a stricter selection filter. 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