1. Money and Campaigns

2. Two competing interests... 1.We don’t want elections to be purchased by the highest bidder 2.We want to be able to financially support candidates we agree with

3. Money and Campaigns Watergate – 1972 President Nixon uses money from large contributors to cover-up involvement in the break in.

4. Money and Campaigns I.Federal Election Campaign Act – 1974 A.Two goals: 1.Tighten reporting of contributions 2.Limit spending B.Created the FEC C.Created the Presidential Election Fund

5. Money and Campaigns

7. I.Federal Election Campaign Act – 1974 A.Two goals: 1.Tighten reporting of contributions 2.Limit spending B.Created the FEC C.Created the Presidential Election Fund D.Provided public funding for presidential primary campaigns

8. Money and Campaigns

9. I.Federal Election Campaign Act – 1974 D.Provided public funding for presidential primary campaigns 1.To qualify for primary matching funds, candidate must have to have raised at least $5,000 in 20 states 2.The federal government will match contributions of up to $250 3.Candidates then agree to limit their spending

10. Money and Campaigns I.Federal Election Campaign Act – 1974 D.Provided public funding for presidential primary campaigns 4.Most candidates now forgo (since George W. Bush in 2000) a.Can raise more money on their own b.Don’t want to limit expenditures E.Provided public funding for the general election

11. Money and Campaigns Senator Barack Obama Democrat $750,000,000 Senator John McCain Republican $84,100,000

12. Money and Campaigns President Barack Obama Democrat $1,230,000,000 Governor Mitt Romney Republican $1,019,000,000

13. Money and Campaigns 2012 Campaign Spending http://elections.nytimes.com/2012/campaign-finance http://demonocracy.info/infographics/usa/political_spend ing/2012_elections.html

14. Money and Campaigns I.Federal Election Campaign Act – 1974 D.Provided public funding for presidential primary campaigns 4.Most candidates now forgo (since George W. Bush in 2000) a.Can raise more money on their own b.Don’t want to limit expenditures E.Provided public funding for the general election F.Required full disclosure G.Limited contributions

15. Money and Campaigns I.Federal Election Campaign Act – 1974 H.Buckley v. Valeo – cannot limit the amount a candidate contributes to his own campaign I.Soft money – money raised general party activities 1.Not subject to contribution limitations

16. Money and Campaigns II.McCain-Feingold – 2002 (BCRA) A.Banned soft money B.“hydraulic theory of money and politics” C.527s

17. Money and Campaigns III.Political Actions Committees (PACs) A.May channel up to $5,000 per candidate B.Must report all contributions and expenditures to the FEC

18. Money and Campaigns Doctrine of Sufficiency Candidate “A”Candidate “B” $$

19. Money and Campaigns Doctrine of Sufficiency Candidate “A”Candidate “B” $$ Sufficient to get message across and compete