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The Effectiveness of Juvenile Correctional Facilities: Public versus Private Management

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Author Info
Bayer, Patrick
Pozen, David E

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Abstract

This paper uses data on juvenile offenders released from correctional facilities in Florida to explore the effects of facility management type (private for-profit, private nonprofit, public state-operated, and public county-operated) on recidivism outcomes and costs. The data provide detailed information on individual characteristics, criminal and correctional histories, judge-assigned restrictiveness levels, and home zip codes--allowing us to control for the nonrandom assignment of individuals to facilities far better than any previous study. Relative to all other management types, for-profit management leads to a statistically significant increase in recidivism, but relative to nonprofit and state-operated facilities, for-profit facilities operate at a lower cost to the government per comparable individual released. Cost-benefit analysis implies that the short-run savings offered by for-profit over nonprofit management are negated in the long run due to increased recidivism rates, even if one measures the benefits of reducing criminal activity as only the avoided costs of additional confinement.

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Publisher Info
Article provided by University of Chicago Press in its journal Journal of Law and Economics.

Volume (Year): 48 (2005)
Issue (Month): 2 (October)
Pages: 549-89
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Handle: RePEc:ucp:jlawec:y:2005:v:48:i:2:p:549-89

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  1. Patrick Bayer & Randi Hjalmarsson & David Pozen, 2007. "Building Criminal Capital behind Bars: Peer Effects in Juvenile Corrections," NBER Working Papers 12932, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  2. Cabral, Sandro & Lazzarini, Sergio G. & Azevedo, Paulo F., 2007. "Private operation with public supervision: evidence of hybrid modes of governance in brazilian prisons," Ibmec Working Papers wpe_99, Ibmec Working Paper, Ibmec São Paulo. [Downloadable!]
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