Second, the evidence suggests that in many cases the desired political favors have been and are granted. More specifically, the data demonstrates a correlation between political contributions and benefits allocated among corporations. Finally, with respect to the effect of this link between political contributions and favors granted, the literature suggests some positive characteristics as well as some negative characteristics. Some corporations, for instance, have been granted special access to international markets that generates profits and some employment benefits for Americans whereas some corporations have abused the benefits conferred upon them to the detriment of Americans more generally.
This paper will examine the case of Enron because this case is illustrative of the many issues surrounding political contributions by corporations; to be sure, the Enron case is one of extremes, not experienced in all cases, but these extremes demonstrate the dangers inherent in unregulated or poorly regulated systems for dealing with political contributions by corporations. ...Show more