FINANCING THE ELECTION CAMPAIGNS : A DIALOGUE WITH OLIVER WILLIAMSON'S THEORY
DOI:
https://doi.org/10.5902/1981369439511Keywords:
Elections, Financing, Governance, New Institutional Economics.Abstract
Funding is indispensable to election campaigns and the ways authorized by law can influence the outcome of the elections. There is currently an important debate in Brazil, following the corruption scandals that hit PETROBRÁS, various political agents and major national entrepreneurs, regarding the financing of political parties and elections. The Supreme Court, based on an interpretation of the Federal Constitution, in 2015, declared the illegality of donations made by legal entities. Consequently, from the elections held in October 2018 in Brazil, the financing is mainly guaranteed from specific state-owned financial funds, and the donation of individuals is allowed, limited to a certain percentage of the minimum wage set annually. The purpose of the article is to bring to the debate, based on the theory developed by Oliver Williamson regarding the governance structures (contract, market and firm), the financing possibilities more compatible with open government.
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