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The Political Contribution Act and an Empirical Analysis of Campaign Contribution Data

  •  Ding-Ming Wang
  •  2007 / 11  

    Volume 14, No.2

     

    pp.121-144

  •  10.6612/tjes.2007.14.02.121-144

Abstract

It is not surprise to see the parties and candidates in a democracy need the donations and fundraising to support the campaign activities and expenses. What is more important for a democratic country, to prevent the negative influence of money politics, is to make the regulation to legalize the transition of political contributions. In Taiwan, The Political Contribution Act was finally passed in March 2004 and started to implement for the legislative election in the end of same year. Based on the political contribution data collected for this election, this paper tries to find the factors that influencing the candidates to attract donations. In addition to several characters from the candidates themselves, including party affiliation, education and inclemency, this paper also finds district matters. Since the contribution data in Taiwan is featured with two-tail truncated distribution, Two-Limit Tobit is applied for the analysis.