1. THIS MORNING:
1. Money and politics
2. Levels of decision making
3. The role of interest groups in politics



2. SUMMARY OF REFORMS:
1. Limits on individual contributions to candidates and parties.
1. Purpose: keep wealthy from dominating elections.
2. Many argue that limits are too low
3. Loopholes have gutted the law's intent.
2. Disclosure
3. Political Action Committees (PACs): organizations that solicit contributions from members and others and distributes to candidates
1. Now corporations, interest groups, professional associations, trade organizations, ideological bodies, and even individuals have set up PACs.
4. Public financing of presidential elections.
1. In return for accepting public funds candidates agree to limit spending.
2. Public funding is not available for congressional elections
3. Proposed reforms would extend public funding to house and senate races.
5. Spending limits:
1. Candidates can now spend as much of their own money as they want (as a result of Buckley v. Valeo) unless they are running for president and accept public assistance.
1. Perot did not take public funding and so could spend as much of his own money as he saw fit.
2. Most public funds go to candidates.
2. Hence, they are further freed from party control
6. Federal Election Committee



3. LOOPHOLES
1. "Soft money": contributions ostensibly made to parties for purposes such as "get-out-the-vote" drives, but in actuality support candidates at all levels.
1. Generic advertisements
2. Independent committees.
1. Groups that operate separately from a campaign can spend as much as they want on a candidate's behalf.
3. Recent "scandals"
1. White House fund raising
2. Webster Hubbell
3. Donation sources
4. China "connection"
5. Congressional inquiries



4. THE CONSEQUENCES:
1. The effect of reforms has been to weaken parties by giving group greater access through funding opportunities.



5. LEVELS OF DECISION MAKING:
1. Types of decisions:
1. Fundamental or trunk: determine national agenda
2. Implementation policies
3. Allocation and distribution of (material and symbolic) benefits and rewards
2. Generalization: most "visible" politics involves implementation and distribution.
1. Interest groups, not parties, are the primary actors.



6. INTEREST GROUPS:
1. Interest groups compared to political parties:
1. Do not try to run government as a whole, only to protect the interests of their members.
2. Private, not public, bodies and hence not accountable in the same way parties are.
3. Do not run their own candidates for office.
1. But they do attempt to influence election outcomes



7. NEXT TIME:
1. Interest group politics: who wins, who loses.
2. Reading: for background Squire and others, Dynamics of Democracy, Chapter 10

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