At Reason, Scott Shackford gets to the root cause of Government Failure.
It's the increasing size and scope of federal government power that causes both the heavy lobbying and the bureaucratic nightmares. The more the government can control what big business may and may not do, the more money those corporations are going to spend—indeed the more money they need to spend—to influence those policies in their favor. The federal bureaucracy defends itself above all things, as does any bureaucracy. It will always make sure there is more work to do and a that there is a need for an increasing number of employees.
Thus, any attempt at expanded executive powers or comprehensive reform or any of the other usual nostrums will end up disappointing people.  "The challenge is getting [the chattering classes] understand that this is the nature of big government and inherent in federal bureaucracy, and not because of a particularly special political dynamic that is in play just at this moment."

To reduce the influence of money in politics, reduce the influence of government.  Everything else will follow.

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