Why Is the Correlation Between a Group's Financial Resources and Its

question 6

Multiple Choice

Why is the correlation between a group's financial resources and its lobbying success so weak?

• A) Lobbying is a competitive enterprise with big interests often facing off against one another.
• B) Many interest groups do not know how to use their financial resources effectively.
• C) Because elected officials don't want to appear biased, they often vote against their PAC contributors.
• D) Regulations limit how much money an interest group can spend on lobbying.

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Definitions:

Lose

To be deprived of something one once had or to fail to win in a competition or conflict.

Breakeven

The point at which total cost and total revenue are equal, meaning no net loss or gain is incurred by the business.

Cost to Play

The initial investment or expense required to enter a market, participate in a game, or start a new venture.

Gain

An increase in a resource or asset, often measured in financial terms, resulting from investment or business operations.