Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties

Which European Parliament (EP) parties are able to extract regular donations from their MEPs' salaries and if they extract donations how great are they? In the literature on party finances, there has been a lack of attention paid to the use of salaries of elected representatives as a source of...

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Main Authors: Bolleyer, Nicole, Trumm, Siim, Banducci, Susan A.
Format: Article
Published: Wiley 2012
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Online Access:https://eprints.nottingham.ac.uk/36990/
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author Bolleyer, Nicole
Trumm, Siim
Banducci, Susan A.
author_facet Bolleyer, Nicole
Trumm, Siim
Banducci, Susan A.
author_sort Bolleyer, Nicole
building Nottingham Research Data Repository
collection Online Access
description Which European Parliament (EP) parties are able to extract regular donations from their MEPs' salaries and if they extract donations how great are they? In the literature on party finances, there has been a lack of attention paid to the use of salaries of elected representatives as a source of funding. This is surprising given that the national headquarters of many parties in Europe regularly collect 'party taxes': a fixed (and often significant) share of their elected representatives' salaries. In filling this gap, we theoretically specify two sets of party characteristics that account for the presence of a taxing rule and the level of the tax respectively. The presence of a tax depends on the basic ‘acceptability’ of such an internal obligation that rests on a mutually beneficial financial exchange between parties’ campaign finance contributions to their MEPs and MEPs’ salary donations to their parties. The level of the tax, in contrast, depends on the level of intra-organisational compliance costs and parties’ capacity to cope with these costs. Three factors are relevant to this second stage: MEPs’ ideological position, the size of the parliamentary group and party control over candidate nomination. Our framework is tested through a selection model applied to a unique dataset covering the taxing practices in parties across the EU member states.
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spelling nottingham-369902020-05-04T16:33:44Z https://eprints.nottingham.ac.uk/36990/ Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties Bolleyer, Nicole Trumm, Siim Banducci, Susan A. Which European Parliament (EP) parties are able to extract regular donations from their MEPs' salaries and if they extract donations how great are they? In the literature on party finances, there has been a lack of attention paid to the use of salaries of elected representatives as a source of funding. This is surprising given that the national headquarters of many parties in Europe regularly collect 'party taxes': a fixed (and often significant) share of their elected representatives' salaries. In filling this gap, we theoretically specify two sets of party characteristics that account for the presence of a taxing rule and the level of the tax respectively. The presence of a tax depends on the basic ‘acceptability’ of such an internal obligation that rests on a mutually beneficial financial exchange between parties’ campaign finance contributions to their MEPs and MEPs’ salary donations to their parties. The level of the tax, in contrast, depends on the level of intra-organisational compliance costs and parties’ capacity to cope with these costs. Three factors are relevant to this second stage: MEPs’ ideological position, the size of the parliamentary group and party control over candidate nomination. Our framework is tested through a selection model applied to a unique dataset covering the taxing practices in parties across the EU member states. Wiley 2012-08-28 Article PeerReviewed Bolleyer, Nicole, Trumm, Siim and Banducci, Susan A. (2012) Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties. European Journal of Political Research, 52 (2). pp. 237-263. ISSN 1475-6765 Party Funding Intra-Party Dynamics Informal Party Practices Parliamentary Pay Party-State Relations http://onlinelibrary.wiley.com/doi/10.1111/j.1475-6765.2012.02068.x/abstract doi:10.1111/j.1475-6765.2012.02068.x doi:10.1111/j.1475-6765.2012.02068.x
spellingShingle Party Funding
Intra-Party Dynamics
Informal Party Practices
Parliamentary Pay
Party-State Relations
Bolleyer, Nicole
Trumm, Siim
Banducci, Susan A.
Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties
title Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties
title_full Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties
title_fullStr Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties
title_full_unstemmed Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties
title_short Towards an organizational perspective on party funding: explaining financial transfers from MEPs to their national parties
title_sort towards an organizational perspective on party funding: explaining financial transfers from meps to their national parties
topic Party Funding
Intra-Party Dynamics
Informal Party Practices
Parliamentary Pay
Party-State Relations
url https://eprints.nottingham.ac.uk/36990/
https://eprints.nottingham.ac.uk/36990/
https://eprints.nottingham.ac.uk/36990/