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Campaign Contributions as Investments: The U.S. House of Representatives, 1980-1986

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  • Snyder, James M, Jr
Abstract
This paper treats the market for special-interest campaign contributions and political "favors" as a simple asset market. The model yields a simple equilibrium relationship among three variables: the total amount of investor contributions a candidate receives, the monetary value of the favors he has promised, and his probability of winning. Using data on open-seat races for the U.S. House of Representatives, the author confronts the model with a series of tests. Despite the starkness of the model, the results of these tests are highly supportive. Copyright 1990 by University of Chicago Press.

Suggested Citation

  • Snyder, James M, Jr, 1990. "Campaign Contributions as Investments: The U.S. House of Representatives, 1980-1986," Journal of Political Economy, University of Chicago Press, vol. 98(6), pages 1195-1227, December.
    • Handle: RePEc:ucp:jpolec:v:98:y:1990:i:6:p:1195-1227
    DOI: 10.1086/261731
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