Investment in Human Capital during Incarceration and Employment Prospects of Prisoners
AbstractThe costs of incarceration and recidivism to the community are substantial. These costs not only include the direct costs of imprisonment but also the opportunity costs arising from depletion of human capital and loss of output. Policy makers have emphasised the importance of rehabilitating prisoners as a way of reducing recidivism. Consequently, the management of prisoners has changed, with more prisoners being encouraged to undertake some form of education, training and/or work during their incarceration in conjunction with any behavioural management programmes. This paper examines, using the 2003 Survey of Prisoners in Western Australia, the decision of prisoners to invest in education/training during their prison term and the potential labour market outcomes of this investment. The results suggest that prisoners use education/training to improve their skills in preparation for release from prison. From this perspective it can be argued that these prisoners see education/training as an investment in human capital rather than consumption. In addition, the decision to participate in either education or training is non-random and varies across the time remaining on the prison sentence, thus suggesting prisoners view education and training as different activities. However, the results show the expected benefit prisoners place on education and training is similar.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4582.
Length: 37 pages
Date of creation: Nov 2009
Date of revision:
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Find related papers by JEL classification:
- I20 - Health, Education, and Welfare - - Education - - - General
- J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
- J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-12-11 (All new papers)
- NEP-HRM-2009-12-11 (Human Capital & Human Resource Management)
- NEP-LAB-2009-12-11 (Labour Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- E. Roy Weintraub & Evelyn L. Forget, 2007. "Introduction," History of Political Economy, Duke University Press, vol. 39(5), pages 1-6, Supplemen.
- Lance Lochner & Enrico Moretti, 2004.
"The Effect of Education on Crime: Evidence from Prison Inmates, Arrests, and Self-Reports,"
American Economic Review, American Economic Association,
American Economic Association, vol. 94(1), pages 155-189, March.
- Lance Lochner & Enrico Moretti, 2001. "The Effect of Education on Crime: Evidence from Prison Inmates, Arrests, and Self-Reports," NBER Working Papers 8605, National Bureau of Economic Research, Inc.
- Anh T. Le & Paul W. Miller, 2004. "High School Graduation in Australia: Do Schools Matter?," Scottish Journal of Political Economy, Scottish Economic Society, vol. 51(2), pages 194-208, 05.
- Harry J. Holzer & Steven Raphael & Michael A. Stoll, 2001. "Will Employers Hire Ex-Offenders? Employer Preferences, Background Checks, and Their Determinants," JCPR Working Papers, Northwestern University/University of Chicago Joint Center for Poverty Research 238, Northwestern University/University of Chicago Joint Center for Poverty Research.
- Anh Le & Paul Miller, 2004. "School-leaving Decisions in Australia: A Cohort Analysis," Education Economics, Taylor & Francis Journals, Taylor & Francis Journals, vol. 12(1), pages 39-65.
- Cho, Rosa & LaLonde, Robert J., 2005. "The Impact of Incarceration in State Prison on the Employment Prospects of Women," IZA Discussion Papers 1792, Institute for the Study of Labor (IZA).
- Anh T. Le & Paul W. Miller, 2000. "An Evaluation of Inertia Models of Unemployment," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 33(3), pages 205-220.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If references are entirely missing, you can add them using this form.