As funny and as smart as "Wag the Dog" is, it's not too surprising that stars lined up to play even some minor roles and bit parts. It's not surprising either that Hollywood doesn't make this kind of movie more often — just awfully disappointing.

This ultra-cynical political satire is similar in theme to "Mad City" — both discuss mass media manipulation and star Dustin Hoffman. Where the two differ drastically is in budget and execution — "Wag the Dog" cost far less to make, and director Barry Levinson got far better results.

Of course, it helps that the movie has a very funny premise, and one that's based on more than just a few factual elements. As it begins, the president (Michael Belson, seen only from behind) has been caught with an underage girl, and the ensuing scandal is threatening to destroy his re-election bid.

While most of the president's aides are panicking, one doesn't: Winifred Ames (Anne Heche), who calls in famed "spin doctor" Conrad Brean (Robert De Niro). Conrad immediately hatches a plan to divert the news media's attention just weeks before the election. Together with celebrated Hollywood producer Stanley Motss (Hoffman), Conrad "creates" a war with Albania. The plan seems to work almost immediately, and the President's popularity soars.

But Sen. Neal (Craig T. Nelson), the president's chief opponent in the upcoming election, fires back by "ending" the war through the media. That doesn't deter Conrad and Stanley, though, as they invent a fictional hero who's stuck behind enemy lines. Unfortunately for them, the man they pick, Sgt. William Schumann (Woody Harrelson), is an unhinged ex-G.I. who presents them with a whole new set of challenges.

Levinson and his scripters make some very calculated moves — such as putting the audience in the position of rooting for the ruse to succeed. But most of their tricks pay off nicely, and as a result there are some extremely funny moments.

It's definitely a labor of love for all involved. Hoffman, in particular, is terrific, and De Niro is surprisingly restrained and natural. There are also a number of well-placed cameos (including Jim Belushi and Merle Haggard) that actually add to the general craziness rather than detract from it.

"Wag the Dog" is rated R for profanity, some vulgar references and brief violence, some of it overheard and not seen.