Is Money Losing its Mojo?

Money has always been the mother’s milk of politics. But author and political commentator Dick Morris says the influence of big money, especially money from wealthy donors and PACs, is declining. In a column in Campaigns & Elections magazine (paid subscription required), Morris says the efficiency and ease of on-line fundraising “will increasingly leave the power brokers in the dustbin of history. …By eliminating the transaction costs involved in direct mailing and phone solicitation, it’s clear that on-line fundraising produces bigger bottom lines more rapidly than any other method of campaign financing.”

While fundraising increasingly goes on-line, money itself “is losing its central importance in political campaigns,” says Morris, especially in presidential campaigns. With declining network television viewership, expensive TV ads don’t work as well for candidates as in the past. “And the Internet, particularly YouTube, gives politicians a way to get out their spots and their messages without paying for airtime. … The intensity of free media coverage dwarfs what even the best-endowed candidate can hope to achieve by flooding the market with 30-second TV spots.”

Morris says  money matters more in political races below the presidential level. “But as fewer people watch network television, as races for governor and Congress attract (more media attention), and as the Internet pushes aside the television screen, the same trends now evident nationally will make themselves felt locally. Money is on its way out.

Sales Tax & Economic Development
The Utah Foundation and the University of Utah's Center for Public Policy & Administration have released a joint research report that examines the impact of the sales tax and other factors on local economic development. Says Utah Foundation Research Analyst David Newell: "We found that, while the sales tax does influence the decisions of local officials, it is not necessarily the only or even the predominant influence. Local economic development is the result of a wide range of factors. Some of these, such as market forces and business decisions, city officials have no control over. Cities can only react to these influences" (see press release and Executive Summary).

CEOs Discuss Airline Merger

Richard Anderson and Doug Steenland, CEOs of Delta and Northwest airlines, respectively, have published a Wall Street Journal op-ed essay explaining why they think their big merger will work, and dispelling myths about airline mergers.

Washington Watch

Cannon: Don’t Tax Cell Phones
Rep. Chris Cannon introduces the Cell Tax Fairness Act, which establishes a five-year moratorium on new discriminatory state and local taxes on wireless service. Says Cannon: "Earlier this year, we put the brakes on new taxes on internet access. This new bill prevents the imposition of new discriminatory tax increases on wireless service. This is a basic issue of tax fairness. Government in America has a spending problem and an addiction to taxing emerging industries. We should let the market decide what technology and products emerge. Taxes and regulation tend to kill new ideas" (see press release).

Today in Political History

April 16, 1867:  Wilbur Wright of aeronautical fame is born. Wilbur and his brother Orville Wright invented the airplane, which they called a flying machine.  (Source:  Inventors) 

April 16, 1947:  Bernard Baruch coins the term "Cold War". (Source:  Perspicuity) 

Wise Words

 “Men become wise just as they become rich, more by what they save than by what they receive”

-- Wilbur Wright  (Source:  Think Exist) 

Campaign Tip

Key Campaign Roles: Scheduler

By Carol Hess

A scheduler keeps the campaign “ticking.” A scheduler should be an organized person who is good at follow-up. He or she receives and answers speaking and debate invitations, and sets the coffees, fundraising and other campaign activities on the calendar. He or she should have a good sense of the district to be able to schedule door-knocking and a reception in the same neighborhood. He or she should have a sense of how long it takes to get from one place to the next. The candidate who has good driving instructions, knows who to contact at an event and arrives punctually, starts out miles ahead.  (Source:  Political Resources) 

National Politics

Best Stories From . . .

-- Politico: Columnist Roger Simon: "Barack Obama thought he was among friends. That was his problem. He is an urban sophisticate, and he was talking to other urban sophisticates. He was in San Francisco last week explaining at a closed-door fundraiser how the rubes of small-town America often do foolish, misguided things when the economy turns bad. 'It's not surprising that they get bitter, they cling to guns or religion or antipathy to people who aren't like them or anti-immigration sentiment or anti-trade sentiment,' the golden-tongued orator from Illinois said. I still can't figure out what that sentence is supposed to mean, but then I am not as sophisticated as Obama. I grew up on the South Side of Chicago, not far from where Obama now lives, but politicians didn't talk like that when I was growing up."

-- The Hill: "Superdelegates from states voting next in the Democratic primary say [Obama's] comments on guns and religion will not cause much damage to his political standing despite an intensifying assault from Sen. Hillary Rodham Clinton (D-N.Y.) and Republicans."

-- Los Angeles Times: A new poll suggests Clinton "may not be headed toward the blockbuster victories she needs to jump-start her presidential bid -- even in Pennsylvania, the state that was supposed to be her ace in the hole...."

-- Wall Street Journal: "Mixing austerity and tax cuts, Sen. John McCain is laying out an economic plan that includes increased Medicare premiums for wealthy seniors and a one-year freeze on spending along with a proposal to review a vast swath of federal programs."

Lighter Side

Tax Day Hangover?

After surviving Tax Day, Jeri Cartwright of Cartwright Communications noted in an e-mail message to UPD that an unnamed Salt Lake attorney once told her: "There is a portion of your income that will never be yours.  You either send a check to the I.R.S., give it to charity, or pay me to set up a tax shelter!"

Jeri is a former reporter and current media relations advisor, and writes about public relations at her Media Relations blog.