By Ingrid van Biezen
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Extra info for Financing Political Parties and Election Campaigns - Guidelines (Making Democratic Institutions Work)
Example text
State support can help parties meet the ever-increasing cost of democratic politics and can compensate for the scarcity of internal financing. Public subsidies thus bridge part of the gap between voluntary donations and necessary party spending. This is especially relevant in the more recently established democracies. Because the pre-democratic authoritarian and totalitarian regimes impeded the existence of competing political organisations, few parties survived 35 PUBLIC FINANCING decades of non-democratic rule.
Critics of the US system, for example, where all political action committees (PACs) must disclose the name, mailing address, occupation and employer of each individual contributor who gives more than USD 200 in one year, have argued that these requirements in practice engender a lot of information which is virtually impossible to process. Full disclosure can thus place an administrative burden on political parties without really contributing towards openness and accountability. Disclosure regulations should aim at striking a compromise between transparency and privacy which is acceptable as well as practical.
At best, it offers few incentives for parties not to be overly generous with themselves. The legal regulation of the amount of state support available to political parties may thus help to keep the amount of state money under control. It may also diminish the likelihood of parties becoming too dependent on the state and neglecting links with their grass-roots supporters. Box 3: State subventions in Portugal State financing of political parties in Portugal was introduced in 1977, a few years after the start of the revolution which triggered the transition to democracy.
