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Record Political Ad Spending Expected in 2012, Moody’s Says

Spending on U.S. political advertising will surge to record highs in 2012 as campaign-spending caps are eliminated, Moody’s Investors Service says.

Corporations and unions can spend unlimited money on the 2012 presidential election and Congressional races for the first time in more than a decade, Moody’s analyst Carl Salas, based in New York, wrote in a note to clients. The rule change, resulting from a January 2010 decision from the U.S. Supreme Court, will likely lead to an increase in spending of 9 percent to 18 percent over 2010’s record levels, he wrote.

Political spending in 2010, a year without a presidential election, was about $2.3 billion, breaking 2008’s record of about $2 billion, according to the Moody’s note.

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