Tag Archive: Political Donations


Agribusiness Political Donations And Farm Bill Votes

 

 

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” When governments dispense privileges such as insurance subsidies, price supports, or protection from foreign competition, they create incentives for firms to invest large sums of money in obtaining and maintaining these privileges, as the farm bill demonstrates.

  The fact that members who ultimately voted for the bill received so much more than those who opposed it may indicate that interest groups prefer to donate to members who are likely to support their issue. This is known as the “political man” theory of interest group behavior. On the other hand, the pattern of giving may indicate that political donations actually affect the final votes that members cast. This is known as the “economic man” theory of interest group behavior. Economists and political scientists have studied these questions extensively, and the balance of evidence suggests that there is some truth to both theories: interest groups do tend to give to candidates that already agree with them, but they also give to candidates in order to sway their votes.

  The final farm bill is expected to cost taxpayers $956 billion over ten years, but the economic costs will be much larger. These costs include not just the explicit taxpayer subsidy and the money wasted in seeking these privileges but also the higher prices that consumers will pay for some food and the resulting misallocation of capital.”

Inside The Kochs’ Reid Brush Back

 

 

 

 

” Charles and David Koch raised eyebrows in D.C. last week with an aggressive push back of Senate Majority Leader Harry Reid after the Nevada Democrat delivered the kind of bare-knuckle attack on the billionaire brothers that has become commonplace by top Democrats in the Citizens United era. 

” All Americans should be deeply concerned when officials use their elected office, particularly the office of the Senate Majority Leader, to stifle First Amendment rights of free speech and association,” Philip Ellender, a top official at Koch Industries, told Breitbart News. Ellender also released a sharply-worded letter taking Reid to task. 

  Sources close to the issue say the brush back was mostly motivated by sincere outrage. “Harry Reid, on the Senate floor – the majority leader – going after private citizens?” asks a top Koch ally incredulously, comparing it to the Internal Revenue Services’ targeting of conservative activists.”

 

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