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Economics

The Unintended Consequences of Campaign Finance Regulations on Grassroots Movements

Quick fact

In the U.S., the Bipartisan Campaign Reform Act of 2002 (McCain-Feingold) banned unlimited 'soft money' contributions to political parties, but this inadvertently accelerated the rise of Super PACs that can raise unlimited funds—often overwhelming grassroots-funded campaigns with massive advertising budgets.

Why this is interesting

You might think that campaign finance rules that limit big money would automatically help the little guys. But sometimes, well-intentioned rules can actually make it harder for grassroots movements to get off the ground.