Putting a Price on Justice: How to Incentivize the Downsizing of Prison Populations

Abstract

We argue that the proximate reason the United States overuses prisons is that for local prosecutors and judges, sending offenders to prison is “free”; the state pays. By completely subsidizing prison use, states incentivize local overuse of prisons. State prisons in the United States are common pool resources, so options to managing common pool resources used in fisheries and environmental protection may have applications to corrections. We propose, for this purpose, seven options: six involve pricing systems and each having several variants. Each approach, in its own way, puts a price on justice. We also outline other changes in correctional and sentencing practices policy makers need to make to implement these approaches. We anticipate potential consequences, good and bad, of incentivizing justice. Finally, we fully expect our proposals to incur the ire of some political idealists on the right and the left. Nevertheless, for policy makers who are concerned about practical solutions to the grave injustices and high costs of mass incarcerations, our portfolio of options should be useful.