Essay about Lobbying and Trade
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Trade lobbying has been a mainstay in the US government set-up for decades. It is so integral to
the politics of governance and foreign policy that it is sometimes referred to as the ‘fourth branch
of government’ (Ramirez, 2019). Such a lofty standing would come with equally lofty
expectations. Lobbying can have both good and bad consequences depending on the intentions.
For example, the outcome might be favorable for an economic giant but harmful for a smaller
entity. Corporate lobbying is a major player in US foreign policy formulation, but it can be
hazardous when policymakers consider money ahead of the public image of the nation.
The imposition of tariffs on both imported and exported goods is perhaps the one area where
lobbying has the most effect. Ramirez singles out the US government’s decision to impose tariffs
on steel imports as an example of skewed policy, based on unclear national security claims. He
points out that the decision ignited a trade war the results of which both benefited and hurt
sections of American society. Thailand, Japan, and a few other countries are enjoying special
status in the form of exclusion from tariff measures by the US government (Skonieczny, 2016).
Smaller, more distant trade partners to the US have their chances even more limited by the
exceptional rule. Japanese steel producers, for example, have outspent their competitors, earning
themselves privileged treatment.
Corporate and interest group lobbying has some fundamental differences which make each of
them distinct. For example, interest groups such as NGOs affect political outcomes through
rewards to government officials, riots and protests, and direct contact with congressional leaders.
Corporations have no such advantages. Instead, they rely on their massive financial might to
donate large sums of money to political campaigns. However, they sometimes experience mixed
results, including counter-lobbying and unfriendly trade climate.
The different approaches mean each side has advantages over the other. Interest groups’ chief
advantage is their ability to mobilize constituents, both in a broad and narrow scopes, to
influence politics. That means they can lobby more cheaply compared to corporate bodies.
However, corporations have the advantage of inside lobbying. Industry experts provide
information and sometimes write policy.
Moreover, they provide the money for think tanks, media advertisements, and information
sheets, among other things. NGOs have the disadvantage of misdirected or stereotypical
representation of issues. Such differences appear to give corporations an upper hand over interest
group lobbyists.
Interest groups primarily employ outside lobbying, and corporates use inside lobbying because
of the deeper pockets and information power of the latter. Corporations arguably have the