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Big Money Still Rules


Catherine Holahan, writing at BusinessWeek, published a story last week on how the various presidential candidates are having tremendous success at attracting contributions from small donors, those who make gifts of less than $200. The campaigns are tapping blogs, e-mails, social networks, YouTube videos, and their own Web sites to reach into the hearts and pockets of new contributors. This year's campaigns are receiving more small donations than the campaigns in previous elections, according to the Campaign Finance Institute.

However, this year's candidates are also receiving more large money donations than ever before. And apparently the ratio of large donors to those who give $200 or less has remained relatively the same as in prior elections. So you have to wonder about the 'new' conventional wisdom that large donors means less to the candidates this year as a result of the influe of small money, and that some how the campaign finance system that allows the big donors to get their hooks into the candidates is less awful than its ever been because of the influx of small money.

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