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Money, Pavement and PEP: Assessing Canada’s New Third-Party Spending Regulations

Fri, September 16, 3:30 to 4:00pm, TBA

Abstract

The ability of third parties to freely express their views and undertake political activities before and during federal elections is central to the democratic process. Recently the Canadian Parliament legislated a new pre-election period (PEP) which places expenditure limits on third-party partisan activities before the formal election period begins. The 2019 federal election was the first to be subject to the new regulations. We examine whether the new law effectively “leveled the playing field” for third-party spending, or unnecessarily restricted freedom of expression.

In analyzing Elections Canada third party financial return data, we conclude that the new law generally was effective in regulating PEP expenditures. Examining third-party spending in the pre-election period, as well as during the formal election period in 2019, reveals evidence of non-compliance with the new regulations along with troubling oligopolistic spending patterns in some key electoral districts. We conclude more attention from election officials and the public at large is merited with respect to ensuring third-party spending is rendered transparent and accountable.

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