Campaign Contributions and Agricultural Subsidies
Rigoberto Lopez ()
No 25223, Research Reports from University of Connecticut, Food Marketing Policy Center
This article examines the influence of campaign contributions on agricultural subsidies. Empirical results revealed that rent seeking works, i.e., campaign contributions of agricultural-related industries influence agricultural subsidies in the manner they best serve contributors' economic interests. Eliminating campaign contributions would significantly decrease agricultural subsidies, hurt farm groups, benefit consumers and taxpayers, and increase social welfare by approximately $5.5 billion. Although contributions are not the only determinants of agricultural subsidies, investment returns to farm PAC contributors are quite high ($1 in contributions brings about $2,000 in policy transfers). In fact, the results are in sharp contrast to the "truthful contributions" assumption of the Grossman-Helpman model.
Keywords: Agricultural and Food Policy; Political Economy (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12) Track citations by RSS feed
Downloads: (external link)
Journal Article: Campaign Contributions and Agricultural Subsidies (2001)
Working Paper: Campaign Contributions and Agricultural Subsidies (2001)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:ags:uconnr:25223
Access Statistics for this paper
More papers in Research Reports from University of Connecticut, Food Marketing Policy Center Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().