Summary Of Federalist No. 10

“A tax loophole is something that benefits the other guy. If it benefits you, it is tax reform,” proclaimed Russell B. Long in 1975. Tax reform is a congressional argument as old as the United States itself. No generation is immune to this fight, as everyone says they are paying too many taxes while the other guy pays too few. Fundamentally, the tax code divides people into categories, by wealth or lifestyle, and determines what taxes and deductions they shall receive. This week, the United States is once again enthralled in this congressional fight. As is typical on Capitol Hill, groups of citizens are out in force, advocating for their cause.
In Federalist No. 10, James Madison addressed the formation of these groups of citizens, called
10 is made when he claims, "the most common and durable source of factions has been the various and unequal distribution of property." Madison argues that people of varying wealth levels will always value different issues and interests over others. Madison then gives several examples of these, “a landed interest, a manufacturing interest, a mercantile interest, a moneyed interest, [and] many lesser interests”, that factions may center around, depending on the class of citizens that comprise the group. This analysis by Madison continues to accurate more than 200 years later, in modern day politics. Interest groups in Washington, D.C. are still formed of like-minded individuals, of similar wealth in order to advance the goals of the group, and thus the goals of the citizens within the group, as opposed to advancing the community as a
The iron triangle helps to illustrate the relationship between interest groups and Congress. Interest groups give electoral support, in the form of money, endorsements and votes to the legislature and in return the Congress gives friendly legislation and oversight that benefits the interest group. In order for citizens to form into a faction, they must all desire a similar benefit. Citizens of a similar wealth class are more likely to desire the same benefit than citizens in a different class. Then, by giving electoral support, the group receives this benefit from Congress, thus fulfilling their reason for joining the interest group to begin with. Repeating this process creates strong factions of like-minded individuals, as Madison