Overview
- A peer-reviewed study in Contemporary Economic Policy reports that firms with more political power win more federal contracts with better terms.
- The authors find that ties to local politicians help most because district leaders often try to protect local jobs.
- The study also finds that when a firm’s sway falls, its donations move toward candidates seen as more likely to win.
- The analysis covers S&P 1500 companies from 1999 to 2019 using several data sources.
- The article is available on Wiley and the release on EurekAlert carries the AAAS disclaimer about contributor responsibility.