Final answer:
Corporations and labor unions circumvent direct contribution restrictions by donating to super PACs, which can raise unlimited funds for or against candidates, as decided by the Citizens United v. Federal Election Commission ruling in 2010.
Step-by-step explanation:
Corporations and labor unions, which are prohibited from contributing directly to candidates running for federal office, turn to super PACs to influence elections. Following the Supreme Court's 2010 decision in Citizens United v. Federal Election Commission, there are no limits to the amount of money that unions or corporations can donate to super PACs. These organizations spend considerable sums in an effort to sway election outcomes, though they cannot contribute money directly to individual candidates.
The significance of these actions is highlighted by the fact that interest groups seek to support candidates to gain access to lawmakers once they are in office. Lawmakers, on the other hand, rely on the specialization that these groups provide in policy areas, due to their own generalist roles and limited resources.
Despite attempts to control political donations through campaign finance reforms such as the Federal Election Campaign Act and McCain-Feingold Act, the creation of super PACs has enabled unlimited political spending. Such spending has sparked debates over whether it promotes an oligarchy and whether such actions threaten the democratic process.