Quarterly Journal of Political Science > Vol 18 > Issue 3

Lobbyists into Government

Benjamin C. K. Egerod, Copenhagen Business School, Denmark, bcke.egb@cbs.dk , Joshua McCrain, University of Utah, USA, josh.mccrain@gmail.com
 
Suggested Citation
Benjamin C. K. Egerod and Joshua McCrain (2023), "Lobbyists into Government", Quarterly Journal of Political Science: Vol. 18: No. 3, pp 403-435. http://dx.doi.org/10.1561/100.00021196

Publication Date: 10 Jul 2023
© 2023 B. C. K. Egerod and J. McCrain
 
Subjects
Political economy,  Political organizations
 
Keywords
Lobbying the bureaucracyrevolving doorpolitical connectionsfederal agenciescongressional staffpolitical appointees
 

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In this article:
Lobbying, Access, and Political Connections 
Data Overview and Stylized Facts 
Research Design: Identification and Estimation 
Results 
Robustness and Alternative Explanations 
Discussion and Conclusion 
References 

Abstract

Lobbying firms seek access to policymaking by hiring individuals with connections to government officials and with previous experience as government employees. This paper examines a different avenue for access: the transition of a firm's lobbyists into government roles. We find firms frequently forge connections to government in this manner and their business benefits as a result. Using panel data from 2001 to 2020 of U.S. federal bureaucrats and congressional staff matched to lobbying records, we quantify the value to lobbying firms when their employees enter government service. We find lobbying firms that gain government connections through the departure of one of their lobbyists experience a 36% revenue increase, or roughly $320,000 per year. In examining what drives this increase in revenue, we find firms present connections as a premium service to existing clients and that connections to congressional offices are more valuable than those gained to executive branch agencies. These results shed light onto the business model of lobbying firms and the political economy of the lobbying industry.

DOI:10.1561/100.00021196

Online Appendix | 100.00021196_app.pdf

This is the article's accompanying appendix.

DOI: 10.1561/100.00021196_app

Replication Data | 100.00021196_supp.zip (ZIP).

This file contains the data that is required to replicate the data on your own system.

DOI: 10.1561/100.00021196_supp