Prison for the Poor

New Economic Thinking
27 Jan 202109:27

Summary

TLDRAnita Alves Pena, a Professor of Economics, explores the correlation between rising incarceration rates and economic inequality in the U.S. from 1970 to 2010. Highlighting a dramatic increase in incarceration, she investigates how local labor market dynamics and racial disparities contribute to this phenomenon. Using the Gini coefficient and relative poverty measures, her research reveals significant links between inequality and incarceration, particularly emphasizing the disproportionate impact on White versus non-White populations. Pena advocates for integrated policy approaches that address both economic and criminal justice reforms, calling for a collaborative exploration of these interconnected issues.

Takeaways

  • 📈 Incarceration rates in the U.S. have significantly increased from 100 to 500 per 100,000 people between 1970 and 2010.
  • 🔍 The research explores the relationship between rising incarceration rates and local labor market inequality.
  • 💼 Economic consequences of incarceration include reduced job prospects, wealth accumulation, and increased likelihood of repeat incarceration.
  • 📊 The Gini coefficient is used to measure local inequality, with findings showing that a one-point increase correlates with approximately 60 more incarcerated individuals.
  • 📉 The study also examines relative poverty rates, noting that a 1% increase in the ratio of White to non-White poverty leads to an increase of 73-75 incarcerated persons per 100,000.
  • 🏳️‍🌈 Stratification economics provides insights into how different racial and ethnic groups experience unique dynamics in relation to incarceration and inequality.
  • 🔗 While crime rates influence incarceration, the research shows that this is not the sole factor driving the increase in incarceration rates.
  • ⚖️ Recent public policy proposals, like the First Step Act, aim to address issues related to criminal law and incarceration.
  • 🤝 The study emphasizes the need for policymakers to consider economic and criminal justice issues together to address systemic inequalities.
  • 📚 The collaboration between different economic perspectives (neo-classical and heterodox) enriches the research and broadens the understanding of the data.

Q & A

  • What are the main trends in incarceration rates in the United States from 1970 to 2010?

    -Incarceration rates in the U.S. increased significantly from about 100 to 500 individuals per 100,000 people, marking a substantial rise in mass incarceration during this period.

  • How does mass incarceration relate to economic inequality?

    -The research suggests that as economic inequality has increased, particularly indicated by the Gini coefficient, incarceration rates have also risen, highlighting a potential correlation between the two phenomena.

  • What is Stratification Economics and its relevance in this study?

    -Stratification Economics examines how different group identities, such as race and ethnicity, impact economic outcomes. This study utilizes it to explore how incarceration rates differ across racial and ethnic groups.

  • What role does crime play in the analysis of incarceration rates?

    -While crime rates are a traditional factor linked to incarceration, the research aims to control for crime in order to reveal underlying patterns and correlations between incarceration and economic inequality.

  • What does the Gini coefficient measure, and what were the findings related to it?

    -The Gini coefficient measures economic inequality; the study found that a 1-point increase in the Gini correlates with about 60 more incarcerated individuals in a local community.

  • What were the findings regarding relative poverty rates in the study?

    -The study found that for each 1% increase in the relative poverty rate, particularly comparing White and non-White poverty, there was an associated increase of 73 to 75 incarcerated persons per 100,000.

  • What implications do the findings have for public policy?

    -The findings suggest that policymakers should address economic inequality and criminal justice reform together, rather than as separate issues, to effectively reduce incarceration rates.

  • How do the researchers approach the collaboration between different economic traditions?

    -The researchers, coming from both neo-classical and heterodox economic backgrounds, emphasize the importance of integrating diverse perspectives to better understand the complexities of incarceration and inequality.

  • What is the significance of controlling for crime rates in the study's analysis?

    -Controlling for crime rates helps isolate the impact of economic factors on incarceration, allowing the researchers to demonstrate that increasing inequality is a significant contributor to rising incarceration rates, independent of crime.

  • How do the findings of this research challenge traditional views on incarceration?

    -The research challenges the notion that crime is the sole driver of incarceration rates by revealing significant correlations with economic inequality, suggesting that broader socio-economic factors must be considered.

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Related Tags
Incarceration RatesEconomic InequalityStratification EconomicsPolicy ReformLabor MarketsCrime TrendsSocial JusticeRacial DisparitiesHistorical AnalysisAcademic Research