Similarity of ideology and party preference among large American corporations: A study of political action committee contributions

Abstract

This study examines the extent to which large corporations contribute to political candidates of similar ideology and party affiliation. Using a sample of 1596 dyads created by relations among 57 large U.S. manufacturing firms, four variables were found to be associated with similarity of ideological contributions, party contributions, or both: corporate headquarters location in the same state, market constraint relations between the industries in which the firms operate, the presence of director interlocks with the same financial institutions, and the extent to which the firms' primary operations were in highly concentrated industries. Members of the same industries, however, were no more likely to support candidates with similar ideologies or party affiliations than were firms in different industries. Moreover, the positive effect of geographical proximity appeared to be a result of firms' tendencies to contribute to candidates from their own state rather than a result of a geographically based ideological split within the business community.