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Mother's Milk Revisited: The Effect of Foreign Ownership on Political Contributions*

Published online by Cambridge University Press:  10 November 2009

Joseph Wearing  and
Peter Wearing
Joseph Wearing
Affiliation:
Trent University
Peter Wearing
Affiliation:
Canadian Facts
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Abstract

This study challenges the claim that foreign-owned firms do not differ significantly from Canadian-owned firms with respect to political donations. Tests for association and correlation show that overall, foreign-owned firms are significantly less inclined to contribute money to Canadian parties. Behaviour varies according to nationality, so that British firms are most likely to contribute, followed by Canadian and then American companies. Japanese firms are least likely to contribute.

Résumé

Cette étude conteste l'affirmation selon laquelle les sociétés sous contrôle étranger ne diffèrent pas de façon significative des sociétés canadiennes en ce qui a trait à leurs dons aux partis politiques. En effet, les tests d'association et de corrélation que nous avons effectués démontrent que, en général, les sociétés sous contrôle étranger sont beaucoup moins portées à faire des dons à des partis politiques canadiens. Les comportements varient selon les nationalités. Les sociétés britanniques, canadiennes et américaines, dans l'ordre, auront plus tendance à faire des dons, tandis que les sociétés japonaises auraient tendance à s'abstenir.

Type
Notes
Information
Canadian Journal of Political Science/Revue canadienne de science politique , Volume 23 , Issue 1 , March 1990 , pp. 115 - 123
Copyright
Copyright © Canadian Political Science Association (l'Association canadienne de science politique) and/et la Société québécoise de science politique 1990

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References

1 Wearing, Joseph, The L-Shaped Party: The Liberal Party of Canada, 1958–1980 (Toronto: McGraw-Hill Ryerson, 1981), 225–31.Google Scholar

2 Stanbury, W. T., “The Mother's Milk of Politics: Political Contributions to Federal Parties in Canada, 1974–1984,” this Journal 19 (1986), 814.Google Scholar

3 Ibid., 818.

4 A further refinement used in this note is a second indicator of foreign ownership, according to the definition of foreign control provided by the Statistics Canada publication, Inter-Corporate Ownership (1984, 1987, catalogue number 61–517Google Scholar). In a few cases, the Statistics Canada study assigns foreign control where the percentage of foreign ownership is somewhat less than half.

5 Paltiel, K. Z., Political Party Financing in Canada (Toronto: McGraw-Hill, 1970), 113–14.Google Scholar

6 Epstein, Leon, Political Parties in the American Mold (Madison: University of Wisconsin Press, 1986), 285.Google Scholar

7 Paltiel, K. Z., “Campaign Finance: Contrasting Practices and Reforms,” in Ranney, Austin, Penniman, Howard and Butler, David (eds.), Democracy at the Polls: A Comparative Study of Competitive National Elections (Washington, D.C.: American Enterprise Institute, 1981), 144.Google Scholar