Matt Jobe Ms. Richmond AP Language & Composition Period 1 18 October 2015 Money Makes the World Go ‘Round Other countries call it corruption, America calls it politics. In 2012, $3.3 billion was spent on lobbying in the United States. More than double the $1.45 billion spent in 1998, this statistic demonstrates the sheer volume of money changing hands during election season ("Lobbying Database"). Through this form of legal bribery, corporate entities have an alarming amount of influence over American politics. The number one priority of corporations is profit. Their interests are not beneficial to the country or to its citizens. Consequently, it is detrimental to democracy when these companies have more representation than the people. The current system of lobbying and campaign finance in the United States creates deep-seated corruption that transcends party lines and negatively impacts the majority of the population. Firstly, corporations often use their political sway to shape laws and regulations in their favor. Not only a recent issue, the system of lobbying is widely accepted because it is so entrenched in American politics. Since the writing of the constitution, lobbying has been a component in government. One example can be found in the 1965 actions of the Cigarette Lobby. Under the guise of protecting public health, Congress passed a bill that mandated warnings on cigarette labels. However, the same bill quietly prevented any restrictions whatsoever regarding the far-more-important issue of cigarette advertising (Drew). The Cigarette lobby succeeded in protecting themselves at the expense of public health. Their advertisements would remain warning-free until 1970 ("Selected Actions of the U.S. Jobe 2 Government"). Similarly, extraction companies (oil and gas) have recently received significant benefits from lobbying. They are not required to disclose the chemicals used in fracking, despite evidence that it pollutes the environment, spreads toxic waste, and even causes earthquakes ("Pennsylvania's Disclosure Rules"; Hoffman). Why is the law so lenient on these companies? Dangerous fracking practices are allowed to continue because of loopholes put in place by paidoff politicians. In 2015 thus far, over $97 million has been spent by lobbyists in the oil and gas industry alone ("Oil & Gas Industry Profile"). Just as in 1965, public health is disregarded for the interests of corporations. Instead of protecting Americans, lawmakers are actually causing them harm. Lobbying does not only harm the wellbeing of private citizens, it also impacts them economically. One of the primary effects of lobbying is tax reductions for companies. The politicians who receive money from lobbyists institute tax breaks or allow tax loopholes. When companies pay less taxes, the tax burden shifts onto the shoulders of the people. From 2007 to 2010, the eight companies that spent the most on lobbying paid a combined total of $540 million. During the same time period, those companies saved an estimated $11 billion in taxes—a 2,069% return on investment (Drutman). Correspondingly, as large corporations pay less and less, individuals pay progressively more. Individual and corporate tax income were equal during WWII, but the disparity between the two has been growing ever since. In 2008, for example, total individual tax income accounted for $1.1 trillion while corporate taxes made up a mere $304 billion ("Historical Tables"). It is apparent that many politicians would rather cater to the whims of their money-donating lobbyists than the people. Under those circumstances, corporations gain more rights than people; this dangerous state of affairs was observed during the 2008 financial crisis. Jobe 3 The 2008 financial crisis, the worst economic disaster since the Great Depression, was caused by consistent mortgage fraud on behalf of the big Wall Street banks. They intentionally deceived investors who purchased mortgage-backed securities, leading the housing market to crash when those securities became worthless (“Maybe It Was Fraud”). Despite this deception, the banks received no punishment or regulations for nearly destroying the world economy. In fact, they received bailouts rather than legal action. It seems as if corporations are virtually untouchable entities. Due to lobbying, these big banks were immune to any repercussions of their devastating actions (“The Origins of the Financial Crisis”). As a consequence of the bank’s wrongdoings, many people lost their jobs and their homes. If companies can act without fear of punishment, they can abuse the population with impunity. Therefore, corporations should be held liable just as a person would be. Ultimately, lobbying is a cancer to American democracy. It allows corporations to impose their will above that of the people. Companies enjoy favorable regulations, tax reductions, and legal immunity while the citizens of the United States are left to deal with the consequences. Subsequently, public health is threatened and the economic security of the lower and middle classes is put at risk. I am disgusted at the greed of both politicians and corporations. They forsake the needs of the many for personal gain. Some will justify lobbying by arguing that benevolent groups lobby for worthy causes, but in my opinion, the evil outweighs the good. In order to solve this problem, large corporate donations to campaigns should be illegal. Corporations should not be able to bribe their way into power. In the future, people will look back and wonder how this could have been called a democracy when the people were not represented. As long as lobbying is legal, the United States is effectively a corrupt oligarchy. Jobe 4 Works Cited Drew, Elizabeth. "The Quiet Victory of the Cigarette Lobby: How It Found the Best Filter Yet— Congress." The Atlantic (1965): n. pag. The Atlantic. Atlantic Media Company, 01 Sept. 2009. Web. 29 Oct. 2015. Drutman, Lee. "Lobby More, Pay Less in Taxes." Sunlight Foundation Blog. Sunlight Foundation, 16 Apr. 2012. Web. 29 Oct. 2015. “Historical Tables." The White House. Office of Management and Budget, n.d. Web. 29 Oct. 2015. Hoffman, Joe. "Potential Health and Environmental Effects of Hydrofracking in the Williston Basin, Montana." Geology and Human Health. Carleton College, n.d. Web. 29 Oct. 2015. “Lobbying Database." OpenSecrets. The Center for Responsive Politics, n.d. Web. 18 Oct. 2015. “Maybe It Was Fraud after All." The Economist. The Economist Newspaper, 13 Oct. 2010. Web. 29 Oct. 2015. “Oil & Gas Industry Profile: Summary, 2015." OpenSecrets. The Center for Responsive Politics, n.d. Web. 29 Oct. 2015. “Pennsylvania's Disclosure Rules: What The Frack's In The Ground?" StateImpact. National Public Radio, n.d. Web. 29 Oct. 2015. “Selected Actions of the U.S. Government Regarding the Regulation of Tobacco Sales, Marketing, and Use." Centers for Disease Control and Prevention. Centers for Disease Control and Prevention, 15 Nov. 2012. Web. 29 Oct. 2015. “The Origins of the Financial Crisis: Crash Course." The Economist. The Economist Newspaper, 07 Sept. 2013. Web. 29 Oct. 2015.