One issue that has long vexed deregulationists is the question of disclosure of campaign contributions and other political activity. Certainly disclosure has some benefits, at least in some cases. But far too often disclosure is set forth, even by those generally favoring less government regulation of campaign finance, as an unalloyed good. Today in the Wall Street Journal CCP Chairman Brad Smith and economist John Lott note some of the downsides. Click here to link to the full article. Some excerpts are below:
"How would you like elections without secret ballots? To most people, this would be absurd.
"We have secret balloting for obvious reasons. Politics frequently generates hot tempers. People can put up yard signs or wear political buttons if they want. But not everyone feels comfortable making his or her positions public — many worry that their choice might offend or anger someone else. They fear losing their jobs or facing boycotts of their businesses.
"And yet the mandatory public disclosure of financial donations to political campaigns in almost every state and at the federal level renders people’s fears and vulnerability all too real. Proposition 8 — California’s recently passed constitutional amendment to outlaw gay marriage by ensuring that marriage in that state remains between a man and a woman — is a dramatic case in point. …
"[W]hen it was discovered that Scott Eckern, director of the nonprofit California Musical Theater in Sacramento, had given $1,000 to Yes on 8, the theater was deluged with criticism from prominent artists. Mr. Eckern was forced to resign. … Alan Stock, the chief executive of the Cinemark theater chain, gave $9,999. Cinemark is facing a boycott, and so is the gay-friendly Sundance Film Festival because it uses a Cinemark theater to screen some of its films….
"A restaurant manager in Los Angeles gave a $100 personal donation, triggering a demonstration and boycott against her restaurant. The pressure was so intense that Marjorie Christoffersen, who had managed the place for 26 years, resigned….
"[A] businessman who donated to "No on 8," Jim Abbott of Abbott & Associates, a real estate firm in San Diego, received a letter from the Prop. 8 Executive Committee threatening to publish his company’s name if he didn’t also donate to the "Yes on 8" campaign….
"Does anyone believe that in campaigns costing millions of dollars a donation of $100, or even $1,000 or $10,000 will give the donor "undue" influence? Over whom? Meanwhile, voters learn little by knowing the names and personal information of thousands of small contributors.
"Ironically, it has long been minorities who have benefited the most from anonymous speech. In the 1950s, for example, Southern states sought to obtain membership lists of the NAACP in the name of the public’s "right to know." Such disclosure would have destroyed the NAACP’s financial base in the South and opened its supporters to threats and violence. It took a Supreme Court ruling in NAACP v. Alabama (1958) to protect the privacy of the NAACP and its supporters on First Amendment grounds. And more recently, it has usually been supporters of gay rights who have preferred to keep their support quiet….
"In the aftermath of Prop. 8 we can glimpse a very ugly future. As anyone who has had their political yard signs torn down can imagine, with today’s easy access to donor information on the Internet, any crank or unhinged individual can obtain information on his political opponents, including work and home addresses, all but instantaneously. When even donations as small as $100 trigger demonstrations, it is hard to know how one will feel safe in supporting causes one believes in."