The Campaign Spot

Election-driven news and views . . . by Jim Geraghty.

Lobbying, America’s One Truly Unstoppable Growth Industry


Today’s Morning Jolt looks at what kind of a Republican the GOP should run in West Virginia in 2012, how the “balanced approach” never seems to balance, and then this theme for populist campaigns in the near future . . .

Speaking of Fodder for a Populist GOP Theme in 2014 . . .

Glenn Reynolds says we’re headed in the direction of the Hunger Games series. This is where I would usually insert some pop culture quip, but I haven’t read the books and am not likely to catch the movie.

You know the story: While the provinces starve, the Capital City lives it up, its wheeler-dealer bigshots growing fat on the tribute extracted from the rest of the country.

We don’t live in The Hunger Games yet, but I’m not the first to notice that Washington, D.C., is doing a lot better than the rest of the country. Even in upscale parts of L.A. or New York, you see boarded up storefronts and other signs that the economy isn’t what it used to be. But not so much in the Washington area, where housing prices are going up, fancy restaurants advertise $92 Wagyu steaks, and the Tyson’s Corner mall outshines — as I can attest from firsthand experience — even Beverly Hills’ famed Rodeo Drive.

Meanwhile, elsewhere, the contrast is even starker. As Adam Davidson recently wrote in The New York Times, riding the Amtrak between New York and D.C. exposes stark contrasts between the “haves” of the capital and the have-nots outside the Beltway. And he correctly assigns this to the importance of power.

Washington is rich not because it makes valuable things, but because it is powerful. With virtually everything subject to regulation, it pays to spend money influencing the regulators. As P. J. O’Rourke famously observed: “When buying and selling are controlled by legislation, the first things to be bought and sold are legislators.” But it’s not just bags-of-cash style corruption. Most of the D.C. boom is from lobbyists and PR people, and others who are retained to influence what the government does. It’s a cold calculation: You’re likely to get a much better return from an investment of $1 million on lobbying than on a similar investment in, say, a new factory or better worker training.

So, if we must raise taxes . . . how about a tax on lobbying expenses?

After all, when you tax something, you get less of it.

Tags: Washington D.C.


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