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Economics of Prison Crowding

NCJ Number
102082
Journal
Annals of the American Academy of Political and Social Science Volume: 478 Dated: (March 1985) Pages: 86-99
Author(s)
G S Funke
Date Published
1985
Length
13 pages
Annotation
This study examines the economic implications of addressing prison overcrowding with the construction of new prisons.
Abstract
The building of a 500-bed medium-security prison costs $350 million in 1982 dollars over 30 years: $135 million for construction and $210 million for operation. The average yearly cost is $11.5 million. Other costs include the loss of inmate economic productivity during confinement and welfare payments to inmates' families. Using only the $11.5 million annual cost for a 500-bed facility, 1 year of time served for each inmate a 500-bed facility, 1 year of time served for each inmate costs $23,000. Possible benefits of this investment include incapacitation (the inmate commits no further crimes in the community while imprisoned), specific deterrence (the inmate is conditioned not to commit more crimes), reduced recidivism due to rehabilitation, and general deterrence (imprisonment prevents potential offenders from committing crimes). Research that measures the cost benefit of imprisonment is not sufficient to conclude that prison expenditures do not generate sufficient benefits to justify them. Lack of agreement on what imprisonment should accomplish has complicated the cost-benefit analysis. An economic analysis of imprisonment must also consider how the prison costs might otherwise be spent in alternative sentences and the benefits yielded. 4 tables and 18 footnotes.