Prohibitions on Campaign Contributions from Foreign Sources: Questioning Their Justification in a Global Interdependent Economy

Nations constantly confront potential threats to their sovereignty and their right to political self-determination. During the past few decades, the rise of multinational corporations ("MNCs") and increases in foreign investment have replaced military force as the chief sources of such threats. As MNCs and other foreign enterprises expand their activities abroad, they generally seek to influence the domestic policies of the nations in which they do business.' This growing foreign political influence has caused the leaders of many countries to fear that their nations' political and economic independence are at risk.2 One way in which overseas corporations try to affect the domestic affairs of their host countries is through campaign contributions. A company may make a campaign donation "to protect [itself] against the passage of adverse laws and regulations by foreign governments."3 A foreign corporation contributes to the campaigns of candidates who support policies that are favorable to the its financial welfare.