TY - JOUR
T1 - Managing the Risks of Corporate Political Donations
T2 - A Utilitarian Perspective
AU - Leong, Shane
AU - Hazelton, James
AU - Townley, Cynthia
PY - 2013/12
Y1 - 2013/12
N2 - This paper applies a utilitarian analysis to corporate political donations. Unlike the more common rights-based analyses, it is argued that the optimal policy is the one that best satisfies society's rational preferences concerning donor influence, adequate financing, donor pressure and the cost of maintaining and enforcing the democratic system. This analysis suggests that a ban is best if it would be generally observed and sufficient financing from other sources is available, otherwise a donation cap is a better option. Further, lobbyists should be banned from donating small gifts and drafting bills for candidates. The impact of disclosure and other risk management mechanisms are also considered.
AB - This paper applies a utilitarian analysis to corporate political donations. Unlike the more common rights-based analyses, it is argued that the optimal policy is the one that best satisfies society's rational preferences concerning donor influence, adequate financing, donor pressure and the cost of maintaining and enforcing the democratic system. This analysis suggests that a ban is best if it would be generally observed and sufficient financing from other sources is available, otherwise a donation cap is a better option. Further, lobbyists should be banned from donating small gifts and drafting bills for candidates. The impact of disclosure and other risk management mechanisms are also considered.
UR - http://www.scopus.com/inward/record.url?scp=84888300819&partnerID=8YFLogxK
U2 - 10.1007/s10551-012-1592-z
DO - 10.1007/s10551-012-1592-z
M3 - Article
AN - SCOPUS:84888300819
VL - 118
SP - 429
EP - 445
JO - Journal of Business Ethics
JF - Journal of Business Ethics
SN - 0167-4544
IS - 2
ER -