BU Now » Business and Politics

Ban on “soft money” reaffirmed

Dick Taffe — Tue, 29 Jun 2010 21:55:14 +0000

The Supreme Court has reaffirmed the ban on political parties being able to raise unlimited amounts of “soft money” contributions, despite the high court’s ruling in January which removed restrictions on corporate and union spending in federal elections. The Republic Party had appealed to the court to undo the ban. Political science Professor Graham Wilson, author of “Business and Politics,” says whether soft money was really used as originally intended for “party building” rather than helping candidates, it’s reasonable to presume that corruption could be linked to soft money contributions.

“But the GOP is right to say that if you allow unfettered spending by corporations and ban soft money contributions to political parties, you are going to disadvantage parties and have more of the action coming from special interests. Whether that is good for democracy can be questioned.”

Contact Graham Wilson, 617-353-2540, gkwilson@bu.edu

BP CEO hit at Congressional hearing

Dick Taffe — Thu, 17 Jun 2010 22:04:07 +0000

Members of Congress came down hard on BP CEO Tony Hayward (r.) as he testified about the Deepwater Horizon oil spill. But political science Professor Graham Wilson, author of “Business and Politics,” wondered why the spotlight over American’s worst-ever spill hasn’t shone on Transocean, BP’s partner in the Gulf of Mexico oil rig that exploded in April.

“How did Transocean get off the hook so easily? Aren’t they people who were drilling the well with MMS approval and weren’t they ones saying the rig was needed to quickly to drill another well?”

Contact Graham Wilson, 617-353-2540, gkwilson@bu.edu

BP faces Congress

Dick Taffe — Tue, 15 Jun 2010 16:16:56 +0000

It’s all BP all the time in Washington this week. After President Obama addresses the nation Wednesday on the BP oil spill situation, company executives on Thursday face a Congressional hearing on the matter. Visiting law Professor Elizabeth Nowicki, both a former SEC and Wall Street attorney, says BP CEO Tony Hayward would be well-served to remember what empirical research shows about the economic value of apologies.

“My advice to Hayward is to remember what behavioral research has shown: Corporations with senior management who willing and sincerely apologize are (a) less likely to get sued and (b) more likely to settle inevitable lawsuits more cheaply.”

Meantime, political science Prof. Graham Wilson, author of “Business and Politics,” wonders when other companies involved in the Deepwater Horizon disaster and its aftermath will be put in the spotlight that thus far has swamped BP.

“It will be interesting to see if the American companies involved, such as Transocean and Haliburton, are also asked to set aside funds [for clean-up]. Only eight of the people on the rig when the well failed were employed by BP.”

Contact Elizabeth Nowicki, 518-867-5355, enowicki@bu.edu; or Graham Wilson, 617-353-2540, gkwilson@bu.edu