Prison Industrial Complex Profits from Incarceration

Private prison companies and the economic incentives they create for incarceration policy

The Industry

CoreCivic and GEO Group collectively operate approximately 150 facilities housing approximately 130,000 incarcerated people. The industry generates approximately 4 billion dollars in annual revenue from government contracts paying a per-diem rate per incarcerated person, creating the financial incentive to maximize occupancy.

The Political Economy

The companies spend approximately 10 to 15 million dollars annually on lobbying and political contributions, supporting candidates and policies that produce higher incarceration rates, longer sentences, and expanded immigration detention -- the policies that are good for occupancy rates.

The Analysis

The Mamdani Post covers the prison industrial complex because the privatization of incarceration is the most direct example of a policy whose social harm is also a private profit opportunity whose political economy makes the harm persistent.

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