Executive Legislative Judicial Executive

FOREIGN GOVERNMENTS AND 

MULTILATERAL ORGANIZATIONS

As the governing power of a sovereign 

nation, the U.S. government is technically 

responsible only to the American people. 

There are ways, however, for foreign gov-

ernments to infl uence policy in the United 

States. Treaties, for example, become the 

law of the United States when ratifi ed. In 

negotiating these treaties, foreign gov-

ernments have infl uence over what will 

become U.S. law.

Foreign governments and internation-

al bodies can infl uence the U.S. in other 

ways, either directly or indirectly. One 

good example is on trade disputes where 

foreign governments have the author-

ity to impose duties on imports from the 

United States. These governments may 

knowingly target goods from infl uential 

U.S. industries or states, believing that the 

affected parties in the United States will 

call on the government to change policies 

to avoid the duties.

While foreign governments can con-

duct public relations efforts and lobby 

through their embassies in the United 

States, they cannot contribute fi nancially 

to the campaign of any candidate for 

federal offi ce.

Top:  A worker hangs a banner outside Madison Square 

Garden, New York City, in preparation for the 2004 

Republican National Convention.   Bottom:  A sign hangs 

on Fleet Center, site of the 2004 Democratic 

Convention in Boston.

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34

T

he various levels of government use a wide variety of taxes and fees to pay 

for their operations. The following is a summary of the major sources of rev-

enue for each level of government.

Federal

• Personal and corporate income tax

• Payroll taxes for Social Security and Medicare

• Excise taxes

• Estate and gift taxes

• Customs duties

State

• Personal income tax (43 states)

• Corporate income tax

• State sales tax (45 states)

• Excise taxes

• Business and professional permits and licenses

• Lotteries

• Transfers from the Federal Government