This study explores the dual effects of campaign finance: influencing election outcomes or shaping policy through information.
Electoral Path: Donors allocate funds to allies (similar policies) boosting their chances in office.
Informational Path: Contributions can signal policy preferences, affecting moderate candidates' choices. However, this mechanism fails if electoral gains aren't sufficient rewards despite negative signals.
The analysis uses a game model where donors with private info distribute budgets between two paths.
| Helping Friends or Influencing Foes: Electoral and Policy Effects of Campaign Finance Contributions was authored by Keith Schnakenberg and Ian R. Turner. It was published by Wiley in AJPS in 2021. |
