The Economics of Direct Democracy: Cost, Access, and Value

Report by New America: “Ballot initiatives are often criticized as too expensive and vulnerable to wealthy interests, but cost alone is a poor measure of democratic value. Drawing on campaign finance data, academic research, and interviews with practitioners, this report examines the costs, benefits, and relative value of statewide direct democracy in the United States. We find that initiative campaigns can be expensive, particularly in a handful of large states, but their costs are often comparable to lobbying and candidate campaigns. Money influences the initiative process, especially at the ballot-access stage, but does not reliably determine outcomes. Rather than restricting direct democracy, policymakers and organizers should pursue reforms that lower barriers to participation, strengthen voter information, and preserve initiatives as a viable pathway for citizen-led policymaking…(More)”.