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John Feffer

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The Price of Democracy

Posted: 05/29/2012 7:33 pm

We pay a lot of money for health care in the United States, more per capita than anywhere else in the industrialized world. If you point out this inescapable fact to opponents of socialized medicine, they invariably respond that we get high-quality care in return. Exasperated, you might go further and say that spending nearly $8,000 a year per capita still leaves us with the 8th-lowest average life expectancy among OECD countries, that the Japanese spend $5,000 less per person per year and live longer. But rich foreigners flock to the United States for operations, your interlocutor insists, so clearly we get what we pay for. The uninsured, alas, would agree with this grim assessment – since they have little to no money, they get little to no care.

Americans also spend more per capita on the military than any other industrialized country (the United Arab Emirates, with a population of only 7 million people, is the only country with a higher rate). The Pentagon and its clients boast that all this money is well spent, that no country comes close to us in terms of quality or quantity of security. Critics, meanwhile, decry the waste, the cost overruns, the systems that work poorly (the F-35) or will never work (missile defense), and of course the enormous opportunity costs.

On health care and the military budget, no one can dispute that the United States spends exorbitantly. Whether we get our money’s worth is a matter of considerable debate.

But there is one arena in which the United States is a world-class spender where you’d be hard-pressed to find anyone who would argue that we get world-class results for our money. I’m talking about our electoral system, which has produced a legislature that attracted a historic low of 10 percent public approval this year, an administration still beholden to Wall Street and the military industrial complex, and (indirectly) a Supreme Court that tilts  so far to the right that I’m surprised the building itself hasn’t fallen over.

The presidential candidates spent, for instance, over $1.3 billion on the 2008 campaign, a record. The election cycle in 2008 cost more than $5 billion, including congressional races and the primaries. We spent, in other words, about $17 per capita for our last big elections. Sound like a bargain?

Over the border, Canadians spent about $12 per capita for the last election. Australians spent about $7 per person in the 2010 parliamentary elections. Cambodians spent over $45 per person in their first democratic election in 1993, but had brought the cost down considerably to only $2 a person by 2003.

These per-capita figures run the risk of apple-orange comparisons, since countries have very different financing for elections. In the United States, as in Australia and the United Kingdom, private donors dominate. In Sweden and Mexico, on the other hand, public financing is the norm.

But the overall point holds: we spend lavishly on elections, much of it on campaign ads. Politics is not a game for the faint of wallet. Nearly half of our members of Congress are millionaires. These elected officials spend 30-70 percent of their time fundraising, and they are highly, shall we say, responsive when Big Money talks. Indeed, lobbying brings in one of the best returns on investment. In a recent This American Life episode, a tax professor estimated what one dollar of lobbying netted on the American Jobs Creation Act of 2004, which provided tax breaks to multinational corporations repatriating their profits. Bernie Madoff offered 10-percent return on investment. These lobbyists got 22,000-percent return. The former went to jail, the latter went to the bank, and we the people were taken to the cleaners.

You’d think that the best political minds of our generation would be focused on how to reduce the hold that money has over our democracy. True, we’ve had various waves of campaign finance reform, culminating in the McCain-Feingold legislation of 2002. But the cost of campaigning continues to rise. It’s quite counterintuitive, then, that we recently changed the rules of the game so that we can pump even more hundreds of millions of dollars into politics.

Actually, “we” is a misnomer. As Jeffrey Toobin points out in The New Yorker, the decision to overturn campaign finance reform in the Supreme Court’s Citizens United decision was largely the work of one man: Chief Justice John Roberts.

The Citizens United case should have been focused narrowly on one provision of the McCain-Feingold campaign finance reform law that prohibited private funding of TV and radio ads about candidates within a certain period before elections. Citizens United produced a documentary slamming Hillary Clinton and planned to show it in the run-up to the 2008 elections. Blocked from broadcasting the documentary during that defined pre-election period, Citizens United took the case to court.

Roberts and his conservative cohort on the Court saw an opportunity to interpret the First Amendment on free speech in such a way to open the floodgates for political contributions. The Court determined in its 5-4 decision that corporations and individuals enjoyed equal rights to free speech and so corporate entities should not be restricted in their campaign contributions. The Bill of Rights doesn’t, of course, mention corporations at all. It talks about the “people,” about soldiers and “the accused,” about the federal government and the states. To argue that the First Amendment’s provision that “Congress shall make no law… abridging the freedom of speech, or of the press” applies to corporations making campaign contributions is as absurd as asserting that buying a nuclear weapon is protected by the Bill of Rights (I’m just waiting for the NRA to make this argument).

“The Roberts Court,” Toobin concludes, “will guarantee moneyed interests the freedom to raise and spend any amount, from any source, at any time, in order to win elections.”

As a result of the Citizens United decision, political campaigns don’t have to disclose the identity of their contributors.  “Citizens United created an environment in which it is perfectly legal for a shell non-profit corporation to engage in election-related spending on behalf of a hidden interest,” writes Lisa Rosenberg of the Sunlight Foundation. “And there is nothing to ensure that the hidden interest is not a foreign national, a foreign company or a foreign government.” U.S. subsidiaries of foreign companies can already establish political action committees, and their contribution levels have been rising. Now, foreign entities have additional ways of illegally masking their influence on American politics.

It would be useful to have a watchdog within Congress who represented the public interest against the moneyed elite. But politicians are simply too busy trying to get reelected to scrutinize the money flow.

Imagine, however, if we had 535 William Proxmires in Washington. Proxmire was the legendary skinflint from Wisconsin. In its obituary for the senator when he died in 2005 at the age of 90, The Washington Times wrote that Proxmire “said most senators could get re-elected without spending a penny, but he didn’t take the chance — in his last election, he spent $145.10, down from the $178.75 he lavished on his previous bid. Much of it went for postage to return campaign contributions, which he did not accept. Proxmire preferred the cheapest kind of politicking: He would shake hands till his hands bled, then start again the next day with bandaged hands.”

The Citizens United decision ensures that any potential Proxmire will not have the remotest chance of getting elected – not on less than $200 in campaign funds.

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05:22 PM on 05/30/2012
“spending nearly $8,000 a year per capita [on health care] still leaves us with the 8th-lowest average life expectancy among OECD countries”

Life expectancy depends on a lot more than health care. Shorter lifespans can be a product of prosperity - you can afford to overeat, smoke, drive instead of walk, drink excessively and so on. Even the best medical care cannot offset the effects of poor lifestyle choices.
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Allene Stucki
10:01 AM on 05/30/2012
It sounds like a lot of money, but it's less than Americans spend on yogurt every year.
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dsws
No owning ideas. Limit only commercial use.
09:16 AM on 05/30/2012
Seventeen dollars every four years? How horrible. Why, that's over a penny per day. Obviously it should be much lower, because citizens can be kept well-informed for less than a tenth of a cent per month.
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HUFFPOST SUPER USER
chatnuptime1
The Wolf's Den.
03:17 AM on 07/11/2012
Lets just say they don't throw their money away by the boat loads thinking this is a bad investment. They aren't Wall STreet. Or banks. These too big to fail groups have lost big money on bubble economies that they and the American people invested in and profited from till it busted like all bubbles do. But to say a 30 second twisted jab is informative and useful for electing your next leader is both a gross lie and utterly foolish. But we do seem ready to take the bate hook line an sinker like dumb fish too hungry to care that we will be yanked out of our ponds and fried for dinner. It seems like a safe bet to gamble on our electorate base stupidity that is. That we let them do this or even let them entertain the idea that this is a good venture is a shame on us. A very big shame. Think about it. A poor ignorant farmer of the late 19th century had more smarts then we do and more pride. My God what have we let loose here?
nothingchanges
too soon old, too late smart
08:45 AM on 05/30/2012
I would happily see my taxes rise by $50.00 a year. to get the "special interest" money out of politics.

Publicly funded elections make sense.

Unfortunately they don't make dollars.

For corrupt politicians, and the wealthy corporate interests who have them in their back pockets.

Which is why we aren't seeing campaign finance reform on the front pages.

Those now IN congress got there by a system of legalized corruption.

They have absolutely no incentive to fix the broken system... that got them their cushy jobs.
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chatnuptime1
The Wolf's Den.
03:24 AM on 07/11/2012
By the way they didn't buy their cushy jobs.. They actually got that job by putting a feed bag on your head and letting you graze on empty speaches and rhetoric that they paid out 17 billion for. Knowing you would rather have your microwave instant information in short burst and are too busy to check the facts. The bottom line this is no one's fault but our own. We listen to it, we act on it and thus they are elected on the bases of our reluctense to do our homework and ignore the twinky sales of so called facts. If any system is more broken in the American Democracy is that the voter has become a lazy, slogger to down right self absorbed in their daily thing to actually do their civic duty.
08:16 AM on 05/30/2012
Every time someone writes an article about how much money is in our politics, no one follows through with the assignment of responsibility.

The question shouldn't be "how much is spent?" but "who is earning all of this cash?"

Corporate Media sells advertising. Connect the dots.
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chatnuptime1
The Wolf's Den.
03:32 AM on 07/11/2012
Take it a step further. Who is more guilty the media for stepping up to the plate to play the game. Of course if the ratings are gonna jump thru the roof to say this or that and the money is there ya who would not? But how do they get the ratings? Thru poles? thru people that watch it? Thru monitoring the hits of people that spend hours listening to that cable net work? Basically ratings tells them how many are interested in it. They must be high for them to jump at that cash. It tells the special interest lobbiest this is the way to dispense information to American's..They eat this stuff up like the junk food they consume in the fast food eateries. They got us pegged for being fat , lazy mind slushing dolts that will eat a twinky on site with pretty wrapping on it. Our politics are commercialized like a product.. They are selling their brand and we seem all to happy to buy it. Is America for sale to the highest bidder? Corporate America knows our price. Do you?
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RobertHenryEller
a micro-bio hp can handle
06:51 AM on 05/30/2012
There is not too much money in politics. There is not enough.

Now, before you think I'm saying Citizens United needs to be broadened, think about this:

$5 billion is indeed spent on an election cycle including executive, congressional and senatorial campaigns. Is that a lot?

The annual salaries and benefits of the executive, congressional, senatorial and judicial elected and appointed officials don't amount to even $500 million, a tenth of that.

And yet, what do we pay these people to do? Determine how to spend a $3.8 trillion budget (proposed 2013). Which has great impact on a $14.6 trillion dollar GDP economy (2010)

$5 billion is 0.13% of the Federal Budget. 0.034% of the GDP.

Do you think for a minute that corporate America is not going to buy the government at that price? Do you think the top layer of Federal officials aren't going to sell the government at that price?

$5 billion is one third the annual bonus pool at Goldman Sachs. Lloyd Blankfein and Company can buy the whole government themselves, with plenty left over.

Sorry folks. You are not going to have a Democracy if you make it so cheap for corporate America to buy your "representatives."
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John Feffer
08:53 AM on 05/30/2012
You're raising two issues here: the cost of elections and the salaries we pay our elected officials. By setting the bar so high in terms of political access, we ensure that only the wealthy -- or those who kowtow to elite interests -- can successfully run for office. That is a deformation of democracy.

What we pay our officials is a separate issue. We should certainly pay our officials enough to make the job attractive. But it's never going to be as attractive, in terms of pay, as a corporate position. And we don't want our elected officials to be in it just for the money. There has to be a strong element of public interest. To ensure that corporate America doesn't buy our representatives once they're in office, we tighten the rules on lobbying and the revolving door.
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chatnuptime1
The Wolf's Den.
03:47 AM on 07/11/2012
What your suggesting is that as we are now doing setting the bar so high that only the wealthy can be leaders. Both in terms of campaigns and terms of salaries. You are creating an Oligarchy. Public Service is just that. It is not suppose to be an institution of wealth creation. This system is just as Aristocratic as the English system. The party system no less. We are not much different any more. But we demand far less of our officials then do other countries. We don't even demand that they show us their hand.. Ask what are you doing with your time and money? They spend billions getting your attention with empty speachees.. Hurray.. and three years in office passing no bills that bring any good to this nation. Boo hoo. How is this any good? I call your hand.. I think your bluffing with Seven Billion dollars on the table telling me the voter your candidate has the goods.. I say he doesn't.. Now show me what you got.
02:12 AM on 05/30/2012
The drug companies see nothing wrong with our medical system.
01:45 AM on 05/30/2012
Sorry, but Corporations ARE people. Corporations are made up of people who go home every night to their families.

Yeah 1/2 of Congress are millinoniers. So is Barack Obama critics could have been substituted?

How many Democreic
,.
08:13 AM on 05/30/2012
Corporations are NOT people. Corporations are a construct of the state to allow assignment of liability away from the people involved.
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MUDPUPPY
11:17 PM on 05/29/2012
When the election is over, will there be a "SOLD" sign on the White House lawn?
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chatnuptime1
The Wolf's Den.
03:54 AM on 07/11/2012
Nope the sold sign will be on your lawn. you were for sale all along.. the white house houses your employee.. you are the government employer.. The candidate is a potential hire.. selling his pitch to you the boss.. how much does he have to pay out selling himself as your next employee depends on his deep pockets and skill getting money to get your attention and fancy and have you vote for him. All this is for you, and me and every other voter. If you don't like the method send them packen. But rest assured.. the only for sale sign going up on the lawns will be those in front of our own homes.. Before or after the Forclosure sign comes.
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Stephen the Grate
There is grandeur in this view of life ...
11:07 PM on 05/29/2012
John Roberts is the epitome of activist judges. This ruling will damage our democracy to a point that may be irreversible. And it will be the principle reason, along with the right-wings willingness to lie and cheat their way into power, that Mitt has even a chance to become president.
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chatnuptime1
The Wolf's Den.
04:09 AM on 07/11/2012
We are bigger then the SCOTUS. Nothing speaks louder then the voice of the people. Stop thinking small. Problem of this nation of people is that we all whine and point fingers and solve nothing.

Gather your wits about you. Stop the whining. The blame shame game has to end. These people spend money to by the buckets to soft sell you a product. You either like the product and buy it or you hate it and ignore it. And the poor shop keeper and maker and sails clerk sit with a warehouse full of product no one wants. That is a statement that this item stinks. Or we rush the doors and trample each other for it on Black Friday and the shop keeper and maker and others in the market food chain sweat to make you more. How we vote, how we act and how we respond to the market pitch of these candidates determine their stratagy and gimics to get us to hire them. If we find their current methods distatesful then why are we buying into their adds, taking their rediculous poles, and watching their 30 seconds of commercial facts and fantasy so seriously over the top that the ratings on news groups is thru the roof. And given 2010's election results very well rewarded.
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chatnuptime1
The Wolf's Den.
04:12 AM on 07/11/2012
They are successful because we are indeed that lazy, this stupid and frankly bald face deserving of Corporate take over to an oligarchy because we litterally are consumers of twinkies life styles and cheap shot marketing.

Buyer beware your being undersold and over priced to buy a product aka candidates that have no game, never will, and we aren't asking for credentials, not asking for the proof, or the product and throwing money away for nothing. If we want to change this we have to start being smart consumers and demand more of our elected officials from start to finish. Polish up that resume and give me something with more meat that says your worth it and them perform.

We are a capitalist society and as such our democracy is sold to us as consumers. Shop wisely and do your research and don't get scammed. You can only be cheated if you don't do your homework. Money doesn't buy power unless you don't care to what kind of power your buying and its end result will have you a crying in your soup.
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MUDPUPPY
10:33 PM on 05/29/2012
The question has become,What is the price of the White House. Who can come up with the highest bid. Considering how Obama has concentrated on raising campaign funds, he firmly believes he can buy four more years in the Oval office.
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waldopepper
I'd tell you all about me if you were my friend.
09:49 PM on 05/29/2012
The money goes somewhere. TV spots, offices, hotels, rental cars. It is in effect a stimulus package for the economy.
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liberalpolicysucks
Government IS the problem
09:49 PM on 05/29/2012
We pay a lot of money for health care in the United States, more per capita than anywhere else in the industrialized world.
Could that maybe be because we have a majority of all medical breakthroughs. The best technology first, and other things?
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Stephen the Grate
There is grandeur in this view of life ...
11:03 PM on 05/29/2012
No.
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Catriona
Wha daur meddle wi me?
11:19 PM on 05/29/2012
Erm... no. It's the $20 aspirins, the redundant testing at exorbitant prices, the insurance rake-offs, the vastly overpriced prescription drugs (etc).