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The seminal case in American campaign finance is Buckley v. Valeo (424 U.S. 1 (1976)), in which the contribution and spending limitations enacted in the early 1970s with the Federal Election Campaign Act (FECA) were challenged on First Amendment grounds. The FECA was a significant, wide-ranging reform that had for the first time created a meaningful regulatory environment in federal campaign finance. The law implemented statutory campaign contribution limits, and also originally mandated spending limitations for congressional campaigns. Moreover, the FECA barred all expenditures made by either private citizens or groups “advocating the election or defeat of (a) candidate” in excess of $1,000 per annum. In Buckley, the Supreme Court held that while contribution limits were constitutional, there could be no prohibition on either individuals or candidates looking to spend their own money to directly communicate a political message. The distinction between contributions and direct spending in Buckley is based on two premises. First, the government has an interest in preventing instances of corruption, or even in limiting public perceptions of corruption. Second, money spent on election communications effectively equates to speech in the modern political realm, so more money spent in this manner is equivalent to more speech. In contrast, the act of contribution by an individual to a candidate, party, or PAC is itself an expressive act.
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Conor M. Dowling (Super PAC!: Money, Elections, and Voters after Citizens United (Routledge Research in American Politics and Governance))