Special Report

Proximity Gets Mistaken for Merit

MIT let a lottery place married student veterans in neighbouring apartments in 1946. Seventy-six years later, researchers hunted for the same geography pattern inside Major League Baseball's draft. Both searches landed on it. Physical nearness predicts who gets chosen, trusted, or labelled a good fit, and that prediction holds even when skill measures say otherwise.

Baseball is the harder proof, because a university can shuffle apartments and watch friendships form. No league will reshuffle where scouting directors live, or run the draft twice under two different maps.

So the 2022 paper built a substitute. It used each prospect's recorded stats and scouting grades to stand in for the coin flip a housing study gets for free. That move, showing cause when a real lottery is impossible, shows up often enough in published work that this site keeps a whole section for it: Natural Experiments.

The rest of this page reads the two studies side by side. First the lottery that pinned down the mechanism. Then the draft that found the same lever moving careers. Last, four checks for any result someone still wants to call pure merit.

The story in four parts

A lottery decided who'd become friends, before anyone met

In 1946 MIT placed married student veterans into apartments essentially at random, then asked each couple to name their closest friends in the complex.

Door-to-door distance did most of the explaining

Couples nineteen feet apart named each other a close friend four times as often as couples eighty-nine feet apart on the same hallway, with no other measured difference between them.

A draft that could never be randomised still showed the pattern

Holding a prospect's measured skill fixed with machine learning, a 2022 study still found scouts leaning toward players who lived nearby.

Proximity-advantaged picks reached the majors less often

Prospects who gained from living near their scouting director were 38% less likely to appear in even one major-league game.

A lottery decided who'd become friends, before anyone met

Leon Festinger, Stanley Schachter and Kurt Back were hunting for what actually produces friendship, and MIT handed them an unusual lab. Two new complexes, Westgate and Westgate West, had just gone up for married student veterans arriving on the GI Bill after World War II. Incoming families received units essentially at random, before anyone met a future neighbour or walked a floor plan. Months on, each couple named their three closest friends inside the complex.

1946, MIT

Westgate West

Why did living nineteen feet from someone predict friendship better than anything about who they actually were?

Unit assignment worked like a coin flip, so friendship patterns that followed could not come from people already choosing neighbours they liked. Whatever drove the pattern had to sit in the building's layout.

The numbers

Straight-line distance carried almost all the signal

41% of next-door neighbours, about 19 feet apart, named each other a close friend. Two doors down the share fell to 22%. Opposite ends of the same hallway, about 89 feet apart, sat at 10%. Roughly 65% of every close friendship named stayed inside the same building, even though residents could meet people across the rest of the complex just as easily.

One more detail tightens the mechanism. A door beside a shared stairwell or mailbox, where every resident had to pass, drew more friend nominations than raw distance alone would predict. Straight-line feet missed what mattered. Festinger and co-authors called the crossing of daily paths functional distance.

Two neighbours need only repeated, unplanned contact. Familiarity from those small collisions starts to feel like earned compatibility, even though a floor plan neither person chose set up the meetings.

Festinger, L., Schachter, S., & Back, K. (1950). Social Pressures in Informal Groups: A Study of Human Factors in Housing. Harper & Brothers. The original 1950 monograph isn't available as searchable full text on this site's network, so the figures above are paraphrased from the book's long-standing, widely-replicated numbers as reported across independent academic summaries, not quoted verbatim from the original page.

A draft can't run a lottery on where a scout lives

Westgate's evidence is clean because MIT did something companies and leagues almost never do on purpose: it randomised who ended up physically close to whom. That is why the friendship finding holds weight, and why Major League Baseball can never give a researcher the same gift. No one will move scouting directors around a map and re-run the draft to watch picks change.

A 2022 paper asked whether the same lever, familiarity from repeated exposure standing in for a real merit judgment, was already shaping the MLB draft. Each team's scouting director works through thousands of prospects with shared stats, reports, and film, a process designed to reward talent across geography.

Showing that geography still mattered needed a stand-in for random assignment. Machine learning built a flexible prediction of each prospect's draft-worthy skill from everything else on file. The authors then asked whether living nearer a team's scouting director still predicted selection once that skill estimate was held fixed. The full method, and what it can and cannot prove, sits in Natural Experiments.

2000–2019 MLB Draft

Roughly 30,000 players, drafted from a pool of over a million

A player is 7.1% more likely to be drafted for every 1,000km closer he lives to a team's scouting director.

A second, smaller lift sat beside it: about 4.9% more likely per 1,000km closer to the team's home city. Both effects survived the machine-learning skill control, and both peaked in the draft's later rounds, where a scouting director has the widest personal discretion and the least outside review.

The cost

Proximity-advantaged picks reached the majors less often

Players drafted with a proximity advantage were 38% less likely to appear in even one MLB game than similarly drafted players without it, and played in roughly 25 fewer games on average. Geography did more than reorder who got taken when. It pulled down the quality of who got taken.

Ahmadi, M., Durst, N., Lachman, J., List, J. A., List, M., List, N., & Vayalinkal, A. (2022). “Nothing Propinks Like Propinquity: Using Machine Learning to Estimate the Effects of Spatial Proximity in the Major League Baseball Draft.” NBER Working Paper No. 30786. Still a working paper rather than a peer-reviewed publication at time of writing. The paper itself sat behind this site's network restrictions, so every number above is paraphrased from its own public summary, not quoted from the full text.

Same mechanism. Higher stakes.

Westgate residents were free to befriend the people next door. Scouting departments are not running an explicit nearby-prospects policy either. Both papers point at one process: repeated, incidental contact builds familiarity, and that familiarity gets treated as trust or fit long before anyone weighs it as an explicit factor.

On a hallway, the process yields friendship. Inside a draft, it yields a real roster pick over a stronger player, on stakes friendship never carries: a signing bonus and a career path.

This site's full write-up of the psychology lives under Propinquity Effect, including cases where the same lever helps. A new hire seated beside the people they will need. A mentorship programme that schedules the repeated contact a shared mailbox creates by accident.

Four checks for any outcome labelled merit-based

  1. Did the decision-maker have any incidental, repeated contact with the person before the decision?A shared hometown, a shared conference circuit, or a shared commute is already enough exposure for functional distance to start working.
  2. Is the advantage strongest where oversight is thinnest?Both studies found the bias concentrated where one evaluator has the most personal discretion and the least outside review: later draft rounds, or a hallway's own residents rather than the wider complex.
  3. Did the person who gained from proximity perform better afterwards, or only get chosen more often?The draft study could check this directly. Proximity-advantaged picks were less likely to ever play.
  4. If the decision-maker's address swapped, would the ranking move?A plausible yes means geography is doing work a merit process is not meant to assign it.