Lobby

AAA

DEFINITION of 'Lobby'

A group of like-minded people banded together to influence an authoritative body, or the act of trying to exert that influence, (i.e., lobbying). A lobby is typically formed to influence government officials to act in a way beneficial to the lobby's best interests - either through favorable legislation or by blocking unfavorable measures. Lobby groups consist of individuals, groups and companies and can be found across the globe. Because of the negative effect lobbies can have by essentially circumventing the democratic process, some countries have seen fit to regulate their activities.

INVESTOPEDIA EXPLAINS 'Lobby'

Although lobbies have received a bad name, they have also been instrumental in protecting or advancing human rights. In the 1950s, for example, the National Association for the Advancement of Colored People (NAACP) filed lawsuits in state and federal courts challenging existing segregation laws. As a result of these suits, the Supreme Court eventually declared such laws unconstitutional.

RELATED TERMS
  1. Corporate Action

    Any event that brings material change to a company and affects ...
  2. Formal Tax Legislation

    The process by which a proposed tax rule or tax change may become ...
  3. Industry Group

    A classification method for individual stocks or companies, usually ...
  4. Industry

    A classification that refers to a group of companies that are ...
  5. Legislative Overkill

    A law enacted to stop or prevent the abuse of a loophole, but ...
  6. Furriers’ Block Policy

    An inland marine insurance policy that provides coverage against ...
RELATED FAQS
  1. What kind of assets can be traded on a secondary market?

    Virtually all types of financial assets and investing instruments are traded on secondary markets, including stocks, bonds, ... Read Full Answer >>
  2. How are double exponential moving averages applied in technical analysis?

    Double exponential moving averages (DEMAS) are commonly used in technical analysis like any other moving average indicator ... Read Full Answer >>
  3. What is considered a healthy EV/EBITDA?

    While average EV/EBITDA values vary by sector and industry, a general guideline is an EV/EBITDA value below 10 is commonly ... Read Full Answer >>
  4. How does the role of Medicare/Medicaid affect the drugs sector in the U.S.?

    Medicare and Medicaid have enormous influence on the pharmaceutical, or drugs, sector in the United States. For instance, ... Read Full Answer >>
  5. What bond indexes follow the supply and demand for junk bonds?

    Bond indexes that track junk bonds include the Merrill Lynch High Yield Master II Index and the S&P U.S. High Yield Corporate ... Read Full Answer >>
  6. What constitutes a secondary market?

    A secondary market covers the trading of any good, commodity, security or asset after it has been issued or created. Although ... Read Full Answer >>
Related Articles
  1. Bonds & Fixed Income

    A Look At National Debt And Government Bonds

    Learn the functions of the U.S. Treasury, and find out how and why it issues debt.
  2. Economics

    Austerity: When The Government Tightens Its Belt

    When a government tightens its belt in tough economic times the entire nation feels the squeeze.
  3. Economics

    How Governments Influence Markets

    The biggest influence in the markets today can create some unintended consequences.
  4. Entrepreneurship

    Government Regulations: Do They Help Businesses?

    These rules are in place to protect consumers and help businesses thrive at the same time.
  5. Retirement

    Navigating Government And Nonprofit Financial Statements

    Learn how to trace where your tax dollars and charitable donations are going.
  6. Active Trading

    Giants Of Finance: John Maynard Keynes

    This rock star of economics advocated government intervention at a time of free-market thinking.
  7. Credit & Loans

    Reverse Mortgage: Could Your Widow(er) Lose the House?

    A guide to determine if you're at risk that you or your surviving spouse could be evicted from your home.
  8. Retirement

    Retire In Ecuador With $200,000 Of Savings?

    Retiring in Ecuador means living a good life on a fixed income. Why not live where your Social Security dollars can provide a comfortable lifestyle?
  9. Trading Strategies

    Uncovering Evidence Of Sector Rotation

    Stalk ETF performance lists over several weeks to uncover hidden institutional buying and selling strategies.
  10. Budgeting

    Is Level Money The Perfect Budgeting Tool?

    Here’s a detailed review of how Level Money works and whether it could be the perfect tool to help you budget.

You May Also Like

Hot Definitions
  1. Unfair Claims Practice

    The improper avoidance of a claim by an insurer or an attempt to reduce the size of the claim. By engaging in unfair claims ...
  2. Killer Bees

    An individual or firm that helps a company fend off a takeover attempt. A killer bee uses defensive strategies to keep an ...
  3. Sin Tax

    A state-sponsored tax that is added to products or services that are seen as vices, such as alcohol, tobacco and gambling. ...
  4. Grandfathered Activities

    Nonbank activities, some of which would normally not be permissible for bank holding companies and foreign banks in the United ...
  5. Touchline

    The highest price that a buyer of a particular security is willing to pay and the lowest price at which a seller is willing ...
  6. Himalayan Option

    An exotic equity option belonging to a class known as mountain range options. Himalayan options are based on a basket of ...
Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!