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INVESTOR'S BUSINESS DAILY

E D I T O R I A L S

May 20, 1998

A Big Lie About Big Business Donations

by Glenn Ellmers

   "Corporations outspend unions by 11-to-1 in political campaigns." That claim has been repeated over and over in the press as part of the campaign against California's Proposition 226.   Trouble is, it's wrong.

    The figure comes from the Center for Responsive Politics, a supposedly nonpartisan research group...

    And reporters don't seem interested in checking CRP's claim.  But the facts are of interest to anyone who frets about money corrupting politics.

                               CRP's calculations are wildly out of synch with official
                               figures from the Federal Elections Commission.

    In the 1995-96 election cycle, the FEC reported that business political action committees spent a total of $130 million, compared with $99 million spent by labor union PACs.

    But CRP claims that business PACs spent many times the FEC figure. And it reduces labor's expenditures by $50 million dollars, to $49 million...

    More outrageous is CRP's inclusion of "lawyers and lobbyists," accounting for $51 billion in donations in the business category.  One of the nation's biggest PACs, of course, is the litigation-crazed American Association of Trial Lawyers -- archnemesis of American business... the trial lawyers have spent millions fighting tort reform, a major business objective...

 

Glenn Elmers is a policy analyst with the Claremont Institute in Southern California.

   

   

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