Menu
Sign In Pricing Add Podcast
Podcast Image

Money Rehab with Nicole Lapin

The Money Trail of the 2024 Presidential Campaign

Tue, 05 Nov 2024

Description

This is such a close race, and it is so close because of all of the money that has been spent by both campaigns. Today, Nicole tells you where this money comes from, and where your dollars can matter the most. Have you voted yet? If not, find where you should vote here: https://www.vote.org/polling-place-locator/

Audio
Transcription

Chapter 1: What is the money trail of the 2024 Presidential Campaign?

99.625 - 128.369 Nicole Lappin

I'm Nicole Lappin, the only financial expert you don't need a dictionary to understand. It's time for some money rehab. Happy, happy Election Day, money rehabbers. If you haven't voted yet today, please get after it. You know what? I'll actually wait. If you have or if you're one of the millions of people who voted early, good for you. I am not Pollyanna-ish about this.

0

128.449 - 149.901 Nicole Lappin

I know there's tons of room for improvement in U.S. politics. But when you think about politics in countries worldwide, you just have to count your blessings to be able to live in a country where our votes count. And I really do think that the best way to express gratitude for that is just by being part of the process. Let's just address the elephant or the donkey in the room. It is a big day.

0

150.081 - 167.491 Nicole Lappin

It is a tense day. And while let's be real, the election probably won't be decided tonight because results will take a while to trickle in and there's always a chance that there's going to be a recount. Symbolically, it is a big day. The political division is intense, to say the least, across the country and even within families and in friendships.

0

168.012 - 187.022 Nicole Lappin

This Thanksgiving might shape up to be a tricky one for families that don't agree on politics. But I think for anyone living this divine deeply, the best antidote I've found is by channeling the high emotions into high impact action. But plot twist, that actually isn't what I'm going to be talking about today. Today, I'm going to be talking about the money trail of campaigns.

0

Chapter 2: How much money have the campaigns spent?

187.222 - 209.014 Nicole Lappin

This is such a close race, and it is so close because of the money that's being spent by both campaigns. So today, I'm going to tell you where all this money is coming from and where your dollars matter most. Let's follow the numbers. The money that has been spent so far on the campaigns is mind-boggling. Harris has raised $1 billion since she replaced Biden a little over three months ago.

0

209.574 - 232.696 Nicole Lappin

Since January, Democrats have spent $5 billion on ads. Republicans have spent $4.1 billion on ads across political campaigns at all levels. On the presidential campaign alone, the Harris campaign has spent an estimated $1.1 billion on ads, while the Trump campaign has spent an estimated $700 million. For both parties, significant spend has been funneled into swing states.

0

Chapter 3: What are the key swing states in the election?

233.176 - 250.209 Nicole Lappin

NPR reports that almost four out of every $5 spent for the presidential election has gone to the big swing states. So we're talking Pennsylvania, Michigan, Wisconsin, Georgia, North Carolina, Arizona, and Nevada. and $1.2 billion has been spent on Pennsylvania alone.

0

250.409 - 268.582 Nicole Lappin

Both Trump and Harris booked pricey spots during the games with Pennsylvania's two NFL teams, the Eagles and the Steelers, on Sunday and Monday nights. This wasn't just targeting geography, but gender too. Both parties have said they're trying to reach younger male voters. Nevada has also been the recipient of a lot of ad dollars, too.

0

269.122 - 290.608 Nicole Lappin

Harris advertised on the Las Vegas Sphere, that big new circular venue that apparently charges $450,000 per day for advertising. The election cycle in 2020 was record-breaking, with over $14 billion spent on the presidential and congressional races. As of Friday, more than $10 billion has been spent leading up to today's vote.

0

291.088 - 309.076 Nicole Lappin

And when all is said and done, this could be another record-breaking election. I'm sure that you had a sense of the Capitol going into this campaign because you probably have gotten a ton of texts and phone calls and emails and Instagram ads soliciting campaign contributions, right? I've been getting at least five texts per day for the last two weeks asking me to donate.

0

309.476 - 331.186 Nicole Lappin

Donating to political campaigns is an effective way to support a candidate. The money in these races do matter, but it is important to know the rules and to dig deep into where your money goes. individuals can only donate $3,300 directly to presidential candidates. This rule was put into place so that the wealthiest Americans can't have an outsized influence in political campaigns.

Chapter 4: How do donations affect political campaigns?

331.907 - 353.336 Nicole Lappin

But you have probably seen all the headlines about billionaires donating insane sums to the candidates. Bill Gates allegedly contributed $50 million to the Harris campaign, while Elon Musk has donated $75 million to the Trump campaign. So how are these ultra elite getting away with not playing by the rules? Well, of course, there are cheat codes and there are loopholes.

0

Chapter 5: What are the rules for donating to presidential candidates?

353.816 - 372.146 Nicole Lappin

The floodgates on political spending opened after the controversial Citizens United Supreme Court ruling in 2010. That ruling basically greenlit corporations, special interest groups and the uber wealthy to make nearly unlimited financial contributions to political campaigns through PACs. and mostly super PACs.

0

372.566 - 393.036 Nicole Lappin

Political Action Committees, or PACs, are organizations that raise and spend money for political campaigns. Traditional PACs can donate directly to a candidate's official campaign, but there are limits both in terms of what they can receive from individuals and also what they can give to the candidates. PACs are only permitted to contribute up to $5,000 per year to a candidate per election.

0

Chapter 6: How have wealthy individuals influenced the campaign financing?

393.656 - 413.833 Nicole Lappin

But in another key Supreme Court ruling from 2010, SpeechNow.org versus the Federal Election Commission, it was decided that outside groups could accept unlimited contributions from corporations and notably individuals as long as they don't give it directly to candidates. These organizations that sidestep contributing to candidates directly are the super PACs.

0

414.373 - 433.829 Nicole Lappin

The trick with the super PACs is that they can still advertise for candidates and issues so long as they independently produce the content. Citizens United also allowed nonprofits to donate to campaigns without disclosing their donors, which is concerning because who knows where this money is actually coming from.

0

434.389 - 455.165 Nicole Lappin

Undisclosed donors are referred to collectively as dark money increased from less than $5 million in 2006 to more than $300 million in the 2012 election cycle. The first election cycle after the Citizens United case, by the way, was decided. There are some understandable reasons why someone might want their donation to be kept private.

0

Chapter 7: What was the impact of the Citizens United ruling?

455.206 - 469.634 Nicole Lappin

They might not want to be involved in the political conversation or could be hiding their support from the public eye. But the concern is that some of this dark money is coming from foreign countries that have a vested interest in interfering in U.S. politics.

0

470.014 - 489.081 Nicole Lappin

The super PAC structure is what has allowed Elon Musk to donate over 22,000 times the individual contribution limit in this election, and totally legally. He does his campaign contributions through his group, America PAC. What might not be so legal, though, is the contest he's funding in several swing states.

0

489.761 - 512.367 Nicole Lappin

Musk started a petition for registered voters in seven swing states, Georgia, Nevada, Arizona, Michigan, Wisconsin, North Carolina, and, of course, Pennsylvania. This petition basically calls for support of freedom of speech and gun rights, not to support any one political candidate. Musk's PAC is giving people who sign the petition $46 each, except for Pennsylvania residents who are getting $100.

0

514.207 - 534.491 Nicole Lappin

Plus, each day until the election, one person will be selected randomly and given a million dollar prize. The Justice Department sent Musk a letter warning that the contest might not be legal. Obviously, that didn't stop the king of controversy. He started giving away the one million dollar prize on October 19th and will give away his last oversized check today.

0

534.571 - 553.879 Nicole Lappin

So that is, carry the one, 18 winners or 18 million dollars given to voters in swing states. I will note that the DOJ has said that the contest might be illegal. Emphasis on the might. Legal scholars are totally stumped by this one. And I'm just telling you this now. This is for sure going to the Supreme Court.

554.24 - 569.009 Nicole Lappin

First of all, the petition requires people to signify support for free speech and the right to bear arms. Not a commitment that you'll vote for Trump. So he's avoided what would be an obvious legal no-no. So what Musk is actually doing here is a little bit more nuanced.

569.31 - 589.549 Nicole Lappin

The argument that what Musk is doing is illegal is underpinned by a law that says that no one can pay someone to register to vote or to vote. But the technicality that Musk is leaning into here is that no one is being directly paid to register to vote or to vote. Because you have to be a registered voter, though, to sign the petition, it may push people to register to vote.

590.069 - 607.211 Nicole Lappin

But the payment is not for the registration itself. So voter registration may be too downstream for Musk to get any legal heat on this one. So clearly, with billions of dollars raised for the election, it is undeniable that campaign contributions are not just lighting money on fire. The money matters.

607.771 - 623.799 Nicole Lappin

It's, yes, a little problematic, but today we're going to talk about how to make your money count in the current system as it stands. Dismantling the system, that is an issue for another day. Before donating to a super PAC, you'll want to make sure that it's legit and that your money is going where you want it to go.

Comments

There are no comments yet.

Please log in to write the first comment.