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Are PAC Contributions and Lobbying Linked? New Evidence from the 1995 Lobby Disclosure Act

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Author Info
Micky Tripathi
Stephen Ansolabehere
James M. Snyder Jr
Abstract

This paper uses newly available data from the 1995 Lobby Disclosure Act to assess the argument that PAC contributions are used to gain access to legislators. First, we find a much stronger connection between lobbying and campaign contributions than previous statistical research has revealed--groups that have both a lobbyist and a PAC account for 70 percent of all interest group expenditures and 86 percent of all PAC contributions. Second, we find that groups that engage in relatively large amounts of lobbying--and therefore presumably have a high demand for access--allocate their campaign contributions differently than groups that do not. Groups that emphasize lobbying pay more attention to members' positions of power inside Congress, and less attention to members' electoral circumstances, than other groups. Groups that emphasize lobbying also appear to be more bipartisan and less ideological than other groups, giving more equally to both parties and more broadly across the ideological spectrum.

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Publisher Info
Article provided by Berkeley Electronic Press in its journal Business and Politics.

Volume (Year): 4 (2002)
Issue (Month): 2 ()
Pages: 131-155
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Handle: RePEc:bep:buspol:4:2002:2:131-155

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  1. Kroszner, Randall S & Stratmann, Thomas, 1998. "Interest-Group Competition and the Organization of Congress: Theory and Evidence from Financial Services' Political Action Committees," American Economic Review, American Economic Association, vol. 88(5), pages 1163-87, December. [Downloadable!] (restricted)
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  2. Kau, James B & Keenan, Donald & Rubin, Paul H, 1982. "A General Equilibrium Model of Congressional Voting," The Quarterly Journal of Economics, MIT Press, vol. 97(2), pages 271-93, May. [Downloadable!] (restricted)
  3. Grier, Kevin B & Munger, Michael C, 1991. "Committee Assignments, Constituent Preferences, and Campaign Contributions," Economic Inquiry, Oxford University Press, vol. 29(1), pages 24-43, January.
  4. Potters, Jan & van Winden, Frans, 1992. " Lobbying and Asymmetric Information," Public Choice, Springer, vol. 74(3), pages 269-92, October.
  5. Chappell, Henry W, Jr, 1982. "Campaign Contributions and Congressional Voting: A Simultaneous Probit-Tobit Model," The Review of Economics and Statistics, MIT Press, vol. 64(1), pages 77-83, February. [Downloadable!] (restricted)
  6. Poole, Keith T & Romer, Thomas & Rosenthal, Howard, 1987. "The Revealed Preferences of Political Action Committees," American Economic Review, American Economic Association, vol. 77(2), pages 298-302, May.
  7. Lohmann, Susanne, 1995. " Information, Access, and Contributions: A Signaling Model of Lobbying," Public Choice, Springer, vol. 85(3-4), pages 267-84, December.
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  1. Jürgen Huber & Michael Kirchler, 2008. "Corporate Campaign Contributions as a Predictor for Abnormal Stock Returns after Presidential Elections," Working Papers 2008-18, Faculty of Economics and Statistics, University of Innsbruck. [Downloadable!]
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