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Understanding Campaign Spending in U.S. Elections: Funding Sources and Regulations

This overview explores the complexities of campaign spending in U.S. presidential elections, highlighting total expenditures and sources of funding. It discusses the roles of small contributors, wealthy families, candidates, non-party groups, and PACs in financing campaigns. Key regulations, such as the Federal Election Campaign Act (FECA), are outlined, including contribution limits, expenditure restrictions, and public funding opportunities. Delve into the significant impact of money on electoral processes, including loopholes like soft money and the importance of compliance with FEC regulations.

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Understanding Campaign Spending in U.S. Elections: Funding Sources and Regulations

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Presentation Transcript

  1. Money & Elections

  2. Campaign Spending • Most $ spent on presidential campaigns

  3. Total Campaign Spending *Federal elections

  4. Sources of Funding • Private & Public Sources • Small contributors ($5, $10, $20, etc.) • Wealthy individual families: large donations • Candidates: both challengers, their families, & people who want to keep appointive public offices

  5. Sources of Funding • Nonparty groups • PACS- Political Action Committees- political arms of special-interest groups • Temporary organizations- groups formed for immediate purposes of campaign, including fundraising *Subsidy: grant or gift of money, usually from gov’t

  6. Sources of Funding • Why people give • Form of political participation • Believe in candidate/party • Social recognition • Political gains • Policy aims

  7. Regulating Campaign Finance • FECA- Federal Election Campaign Acts • Regulate use of money in presidential & congressional campaigns

  8. Federal Election Commission • FEC administers all federal law dealing with campaign finance • Campaign finance data • Limits contributions • Limits expenditures • Provide public funding for parts of election process

  9. Federal Election Commission • Disclosure Requirements • Spotlight the place of $ in federal campaigns • Limits on Contributions • PAC Contributions $

  10. Federal Election Commission • Limits on Expenditures • Limit $ candidates can put in own campaign • Public Funding of Presidential Campaigns • Preconvention campaigns • National conventions • Presidential Election Campaigns

  11. Loopholes in the Law • Soft money: $ given to State & local party organizations for “party-building activities” • Hard money: campaign $ that is subject to regulation by the FEC

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