Rick Pildes on The Danger of Incumbent-Protecting Campaign Finance Laws:

Over at Balkinization, leading election law scholar Rick Pildes has posted a response to my argument that campaign finance laws are likely to be incumbent-protection laws. I agree with most of his analysis, much of which is extremely insightful. But it seems to me that it doesn't really rebut my original point.

To briefly recap, I argued that campaign finance laws are likely to protect incumbents against challengers because they must get the support of incumbent politicians to be enacted. And incumbents are highly likely to enact reforms that strengthen them relative to challengers, while rejecting any proposals that might have the opposite effect. I further argued that widespread voter ignorance exacerbates the problem by making it difficult or impossible for voters to tell the difference between a "good" reform law and an incumbent-protection scheme.

In his response, Pildes doesn't directly dispute these points, but makes three potentially relevant claims:

First, it is indeed true that as long as sitting legislators have the power to shape the groundrules of democratic elections, there is always the risk that they will do so for self-interested reasons. This is a serious problem, not to be underestimated.... Second, this risk is just as true from legislative inaction as action. Thus, it is much too simple to proclaim that, if a legislature enacted any particular law – such as a campaign-finance law – it must be the case that the law is incumbent protecting. Third, despite the risks, we are inevitably going to have to have election laws: elections are structured processes. That is why the title of this post is intentionally provocative. Finally, all this means that to decide which election laws are incumbent protecting and which are, instead, appropriate, we inevitably need substantive analysis that distinguishes one law from another.

Obviously, I agree with Pildes' first point, which is similar to the one I made myself. His second point is also valid; legislators might choose not to enact a campaign finance proposal if passing it would help challengers. Indeed, that is what I would expect them to do. It is unlikely that legislators who want to hold on to their seats would knowingly enact any reforms that would undermine that objective. Both of these points merely strengthen my claim that any campaign finance laws that do pass the legislature are likely to be incumbent-protecting. At the very least, they are highly unlikely to make things any easier for challengers. Note that this holds true even though, as Pildes notes, "there’s no reason to assume that the baseline before any recent piece of legislation provided an optimal state of a competitive electoral structure." Even if the preexisting baseline was suboptimal, the only new campaign finance regulations likely to actually pass are ones that reduce competitiveness below the baseline level rather than increase it.

Pildes' third point - that "we are inevitably going to have to have election laws" -is the only problematic one. It may be true in the case of electoral districting laws, laws regulating ballot access, and other laws regulating election procedures (many of which Pildes mentions in his post). But it is not inevitable that we have to have campaign finance laws. Indeed, we didn't have any federal laws regulating private campaign spending for the first century or more of American history, and very few until the 1970s. Unlike in the case of districting and voting procedures, we could potentially leave campaign finance entirely to the private sector - as we for the most part did during much of American history.

I don't claim that private sector campaign finance is anywhere close to optimal. Nor do I conclude that concerns about incumbent protection are by themselves sufficient to justify a complete ban on government regulation of campaign finance. I do, however, suggest that the likelihood that any campaign finance laws that actually pass the legislature will be incumbent-protection schemes justifies a strong presumption against them. In other areas of election law, we may have to live with a system that puts the wolves in charge of regulating access to the chicken coop because some form of government involvement can't be avoided. With campaign finance, we don't. In this area, we should put the wolves on a very short leash, possibly even keep them away from the chickens completely.

Related Posts (on one page):

  1. Rick Pildes on The Danger of Incumbent-Protecting Campaign Finance Laws:
  2. Why Campaign Finance Laws are Likely to be Incumbent-Protection Laws:
corneille1640 (mail):
This dispute reminds me of a different, but related issue with campaign reform that has often bothered me. The more laws that are enacted, the more legal counsel a candidate needs in order to comply fully with the law. In other words, candidates with less money--non-incumbent insurgents in major party primaries, or third party candidates--stand the most risk of violating the laws unintentionally while well-funded (usually incumbent) candidates could, theoretically, violate the spirit of the laws and yet avoided any punishment or outright violations.

I agree with Mr. Somin in that the present system does not seem optimal. But I don't know how to fix what's broken.
7.1.2008 7:53am
Curt Fischer:
One way to fix the system might be to require all election reform laws to pass via national or state referenda.

I can't ever remember there being a nationwide referendum in the past, so probably some legal obstacle blocks implementation of this idea, at least on the national level.

But it would solve the wolves-regulating-the-chicken-coop problem, wouldn't it?
7.1.2008 9:06am
General Disarray:
"[Referenda] would solve the wolves-regulating-the-chicken-coop problem, wouldn't it?"

Probably not, if voters are as ignorant as Ilya says. (I think they are.)
7.1.2008 9:34am
Justin (mail):
Mr. Somin's argument is too simplistic. He seems to think the purpose (the "chickens" so to speak) of campaign finance reform is equality. But that's not the only, or even primary, purpose. The primary purpose of campaign finance reform is anticorruption. And while there's a reason to believe that elected officials are antagonistic towards equality, logic dictates elected officials are at worst agnostic about corruption, at least as far as the corruption is related to them getting re-elected, if they could perform the task some other way (they may be pro-corruption in terms of filling their personal coffers).

Given the multipurpose reasons for campaign finance reform (not to mention the odious state of affairs proceeding those reforms), I think Pildes and Somin agree that campaign finance reform advocacy should be cautious. But to think that there is "no reason" for campaign finance laws is like giving the wolves free reign in the chicken coop, without even bothering to ask them to guard it at all. Amongst the many things that legislators can do to increase their chances of winning, enacting campaign finance laws are by far the most transparent, as well as the least helpful. Performing countless quid pro quos on behalf of special interest groups, in order to get money funnelled in to build a warchest where they can outspend their opponents in spades, is far easier and murkier.
7.1.2008 9:35am
Justin (mail):
PS - the only laws I can think of that are "clearly" incumbent-protection in MF was the anti-self-financed candidate laws that were mostly struck down. On the other hand, the arguments that the Maine and Arizona public finance structures are pro-incumbent are incredibly weak.
7.1.2008 9:39am
Brett Bellmore:

The primary purpose of campaign finance reform is anticorruption.


No, that's the primary pretext. Making life hard on challengers is the primary purpose.
7.1.2008 10:01am
Dave N (mail):
I support totally eliminating contribution amounts and sources--but requiring federal candidates to post all contributors over $100 and the total amount given on the Internet within 48 or 72 hours of receipt. Have severe penalties for campaigns that do not comply and for contributors who attempt to mask their contributions but otherwise abolishing the mishmash of current federal campaign law.
7.1.2008 10:10am
David M. Nieporent (www):
No, that's the primary pretext. Making life hard on challengers is the primary purpose.
Insert standard libertarian argument about how the only true anti-corruption law is one which strips government of the power to hand out goodies to favored interest groups/constituents.
7.1.2008 10:29am
David M. Nieporent (www):
I support totally eliminating contribution amounts and sources--but requiring federal candidates to post all contributors over $100 and the total amount given on the Internet within 48 or 72 hours of receipt. Have severe penalties for campaigns that do not comply and for contributors who attempt to mask their contributions but otherwise abolishing the mishmash of current federal campaign law.
What about the right of citizens to speak anonymously?

And if one doesn't buy that, what about the interest of citizens in being able to anonymously support candidates? How many people here, including you, post anonymously because you/they're concerned about the repercussions for their careers if their political views are publicized? And yet, you want to require people's political views to be publicized immediately and permanently in a readily-publicly-accessible database.
7.1.2008 10:33am
PersonFromPorlock:

What about the right of citizens to speak anonymously?

And if one doesn't buy that, what about the interest of citizens in being able to anonymously support candidates?


Good points, and ones I've wondered about myself. I suppose those who fear the consequences will refrain from contributing, with the natural consequence that the politicians will then pass laws to protect potential donors from retaliation. Doesn't seem like too bad an outcome.
7.1.2008 11:07am
CWuestefeld (mail) (www):
Why not capitalize on anonymity? Say that all campaign contributions MUST be anonymous, going into a blind account that even the candidate and staff can't see through.

Wouldn't this allow anyone to say "yeah, I was the guy who contributed that million", thereby removing the quid pro quo aspect of contributions, and reducing the whole thing to a pure matter of helping a candidate win?
7.1.2008 12:14pm
Fub:
CWuestefeld wrote at 7.1.2008 11:14am:
Wouldn't this allow anyone to say "yeah, I was the guy who contributed that million", thereby removing the quid pro quo aspect of contributions, and reducing the whole thing to a pure matter of helping a candidate win?
Corruption under this scheme isn't rocket science. The account may be blind, but politicians aren't deaf and influence buyers aren't dumb.

For example: Mr. Moneybags, Inc. tells Senator Snort in advance, "On July 1 I am going to contribute exactly $1,037,933.65 to the blind trust for your campaign. Vote accordingly on the pending telecom customer buggery bill."
7.1.2008 1:18pm
CWuestefeld (mail) (www):
The account may be blind, but politicians aren't deaf and influence buyers aren't dumb.

Of course. Neither is the rest of the world. I can say the same thing -- without making that donation! And if the account is completely blind, then the politician can't tell (unless the total contribution on that day is less than my claim, but that's easily resolved by obfuscating the dates, randomly holding some contributions back by a couple of days, or randomly breaking them into multiple pieces)
7.1.2008 1:53pm
arbitraryaardvark (mail) (www):
What about the right of citizens to speak anonymously?
And if one doesn't buy that, what about the interest of citizens in being able to anonymously support candidates?

Thanks Brett and David for already responding to Justin.
Yesterday was the 50th anniversary of NAACP v Alabama ex rel Patterson, a landmark case on freedom of association and the right to privacy that held that sometimes there's a right to be free from compelled disclosure. See also 74 Socialist Workers Campaign Committee v Brown. I've been turned down for a job I'd been offered when they found out I was a Libertarian. Many have had more severe experiences. Google Fannie Lou Hamer.
Patterson is one of a trio of cases along with Talley v California and Bates v Little Rock that establish a right to anonymity in politics. Talley held that the government can't require identification disclaimers on political literature. And yet, 48 years later, most states, and the FEC, still have these disclaimer rules. I've tried litigating about this, but I'm not an effective litigator. If any of you lawyer types are looking for a project, drop me a line. gtbear gmail
7.1.2008 2:06pm
Justin (mail):
Neither Brett nro David responded to me in a meaningful sense, although both posts (Brett's more snarkily) make fair points (if not responsive to what I was discussing).
7.1.2008 2:35pm
Fub:
CWuestefeld wrote at 7.1.2008 12:53pm:
Of course. Neither is the rest of the world. I can say the same thing -- without making that donation! And if the account is completely blind, then the politician can't tell (unless the total contribution on that day is less than my claim, but that's easily resolved by obfuscating the dates, randomly holding some contributions back by a couple of days, or randomly breaking them into multiple pieces)
Yes, I assumed that a politician would be allowed to know the amounts of contributions, but not the identities of contributors. To obfuscate a trust account to the extreme extent of obfuscated dates and random omissions would leave political candidates unable to know an accurate account balance at any time. Some might consider that a feature, to leave political candidates confused about the state of their campaign finances.

But would it also be a plausible excuse for a politician to overdraw his campaign account?
7.1.2008 5:48pm
Dave N (mail):
David M. Nieporent,

Fair point about my blogging anonymously. However, I set a threshold where people could contribute anonymously ($100) if they so chose. I believe that is the current threshold under federal law (could be wrong though). My point is that Bill Gates giving Favored Candidate $50k shows the world that Favored Candidate is being strongly supported by Mr. Gates, and voters could then decide whether such a level of support was good or bad. This makes better sense than the current practice of allowing PACs with such prosaic names as The Fund for America's Future (who on earth could be against THAT?) giving money to favored candidates.

By the way, this is a real political action committee, but without peeking, can anyone tell me what American politician controls this PAC?
7.1.2008 7:12pm