Money and Elections. Campaign Spending As Will Rogers put it “ You have to be loaded just to get beat.” It will take well over a billion dollars to win.

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Presentation transcript:

Money and Elections

Campaign Spending As Will Rogers put it “ You have to be loaded just to get beat.” It will take well over a billion dollars to win the presidential campaign.

Where the Money Comes From? Small Contributors Wealthy Individuals and Families Candidates Political Action Committees/Interests Groups Temporary Organizations Public Subsidy- a grant of money from the government.

What is a Political Action Committee The political arm of a special-interest group. They have a major stake in public policy PACs can represent many areas of society The job of PACs is to influence government policy in their favor They distribute money to those candidates who are 1. sympathetic to the PACs policy goals, and 2. have a reasonable chance of winning

Public Funding for the President Income tax “check off” 3 dollars for single return, 6 dollars on joint return. It is optional To be eligible for funds a contender must raise at least $100,000 in contributions from individuals. Every major party nominee qualifies for a public subsidy during the general election. No nominee has declined the money.

Hard Money and Soft Money Hard Money- Money raised specifically for elections Soft Money- Money raised by the political party for “party- building activities”. Until 2002 soft money had no rules or limits Bipartisan Campaign Reform Act of 2002 (AKA the McCain Feingold Act) placed limits on Soft Money Parties have skirted around this with the use of temporary organizations that produce commercials for the benefit of one party or person. Ex. Swift Boat Veterans for Truth, MoveOn.org

Rules for Political Campaign Contributions No person can give more than $2,000 to any federal candidate in a primary election. No person can give more than $5,000 to a Political Action Committee in a year. No person can give more than $25,000 to a National Party Committee No person can give more than 95,000 in an election cycle. No PAC can give more than $5,000 to any candidate in an election. No PAC can give more than $10,000 to any candidate in an election cycle. PAC’s can contribute no more than $15,000 a year to a Political Party.