by EM Schmidt

Created on: October 23, 2009   Last Updated: November 04, 2009

The American campaign finance system is fervent. Historically, federal political candidates and campaigns have survived off the generous contributions from industries, special interest groups, and political action committees.

As of October 31, 2009, Republicans & Democrats in the House of Representatives have raised a total of $252,551,006.00 in campaign monies. While both parties in the Senate have raised a total of $157,710,560.00.

What does the spending trend of campaigners tell us? Reflecting back on the 2008 general election it appears those politicians who spent, won. Average winners of the House, either incumbents or majority party challengers, spent $1,372,539.00. The average second place candidate spent only $492,928.00. Far less the amount spent by the winner. In the six year campaign cycle for the Senate the average winner spent a whopping $8,531,267.00. The average loser spent a little less than half of what the winners spent.

Political contributions can significantly impact politics, our lives, democracy, or lack thereof. Consider the recent announcement that the House Financial Services Committee (HFSC) passed a reform bill known as the "Consumer Financial Protection Agency Act - H.R.3126." In the works, the creation of a new executive branch agency to oversee consumer financial protections which will affect the insurance, finance, and real estate sectors.

During the 2008 election cycle the "top overall donors" more specifically, all ranking within the top 15, included Goldman Sachs, JP Morgan Chase & Co., Citigroup Inc., National Assn. of Realtors, Morgan Stanly, American Bankers Assn, and Bank of America. The financial sector alone, donated a total of $468.8 million dollars in campaign monies in 2008, and during the first half of 2009 the (HFSC) accepted 7.6 million dollars from this sector. A precarious position for the (HFSC) while considering legislative changes concerning some of their biggest financial supporters .

Coincidence? The Center for Responsive Politics found those politicians opposing (H.R.3126) collected the highest contributions from this sector. On average, gaining 20 percent more than those who opposed it. The situation with the (HFSC) is just one example of where large sums of monies were passed to candidates and campaigns in an attempt to influence.

Financial campaign reform may seem necessary but it is seldom welcomed by politicians. When the Bi-Partisan Campaign Reform Act of 2002 (BCRA) went before Congress

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